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Full text of "Fifty years of citrus"




Florida Agricultural 
Experiment Station Library 

Gainesville, Florida 






Digitized by the Internet Archive 
in 2013 



http://archive.org/details/fiftyyearsofcitrOOhopk 



c 



Fifty 

r 






CITRUS 



THE FLORIDA CITRUS EXCHANGE : 1909 - 1959 




Dr. J. H. Ross 
President, Florida Citrus Exchange, 1913-1924 



Fifty 



CITRUS 



THE FLORIDA CITRUS EXCHANGE : 1909 - 1959 



JAMES T. HOPKINS 



UNIVERSITY OF FLORIDA PRESS 
GAINESVILLE • 1960 



AC3RI- t 
CULTURAL 
LIBRARY 



A UNIVERSITY OF FLORIDA PRESS BOOK 



Copyright, I960, by the Board of Commissioners 
of State Institutions of Florida 



Library of Congress Catalog Card No. 6010227 

Printed by the Pepper Printing Company 
Gainesville, Florida 



r e r a c e 



THIS IS THE HISTORY of the Florida Cit- 
rus Exchange. It encompasses in general detail an outline of the 
most significant developments of this organization during the fifty- 
year period from 1909 to 1959. 

As the first federated marketing cooperative in the Florida citrus 
industry, the Exchange has served as the voice of the relatively 
large group of citrus growers who market their fruit through the 
Exchange system. It has been in this capacity that the Exchange 
has grown to prominence and considerable influence within the 
industry as well as on markets both domestic and foreign. 

It will be disappointing to some that this history cannot hope 
to record in even briefest detail the names and contributions of 
many individuals who have served either the Exchange or the indus- 
try with considerable note during the past half-century. Neither is it 
possible within the limitations of this publication to include specific 
mention or historical note of the many associations that are charter 
members of the Exchange, or of the many other associations and 
affiliate shippers that make up the membership as its exists today. 

Because this is the history of an organization, it will deal with 
individual accomplishments only in the light of their effect On the 
course of progress of the Florida Citrus Exchange. It must be 
noted here, however, that there exists the most interesting prospect 
that some future historical endeavor will one day take up the in- 
dividual accomplishments of the industry's early leaders who, 
through strength and sheer determination, fashioned a mold for 
the future progress of the Florida citrus industry. 

The extent to which the Florida Citrus Exchange has influenced 
the industry during the past half-century must be obvious at once 



HLIOV 



FIFTY YEARS OF CITRUS 

to the unbiased mind. While appraisal of the use of this influence 
may vary to a great degree, there can be little doubt that the 
Florida Citrus Exchange has always functioned in the interest of its 
members, who make up a large percentage of the total citrus grower 
population of the state. This is true, in its most uncomplicated 
analysis, because the Florida Citrus Exchange was organized by 
growers in their own interest. Its exclusive purpose through all 
these years has been the marketing of its members' fruit on a co- 
operative basis, returning to those growers the highest possible 
margin of profit for their harvests. Policy and control of the Ex- 
change is and has always been placed specifically in the hands of 
growers who elect to market their fruit through the many Exchange 
associations and associate shippers throughout the Florida citrus belt. 

It seems quite natural that the early history of the Exchange 
should be synonymous with the recent history of the Florida citrus 
industry, and the reader without specific interest in the record of 
this cooperative should, nonetheless, find the organization and 
development of the organization interesting because of its parallel 
to the development of the industry itself. 

With regard to the industry, this history concludes that prob- 
lems and seasonal difficulties have occurred with such frequency 
that one is forced to the certain observation that no season or period 
of seasons has ever been free from trouble of one nature or another. 
The Florida citrus industry has never, it seems, known a normal 
season, nor for that matter has it ever found a workable pattern 
to apply to the long-range solution of each season's particular prob- 
lems on the basis of prior experience with a similar problem. 

Conversely, the bulk of today's problems are in themselves old 
and familiar. Indeed, a great many of them existed even before 
the half -century began. Progressive production and new marketing 
techniques have complicated these problems in many cases, but 
the difficulties of the citrus farmer of 1909 are not vastly different 
in basis from those of the grower of 1959. 

And, like the problems, many of today's corrective endeavors 
are similar to those of yesteryear. There is, for example, little 
difference in the search for expanded consumer demand through 
advertising. Much of the Exchange's national advertising of the 
1920s is strikingly similar in copy, idea, and art, to the advertising 
used by the industry today. Testimonials by outstanding sports 
figures, educational copy with regard to vitamins, citrus recipes, 

vi 



PREFACE 

and the extravagant use of Florida's sunshine theme were all used 
extensively in that era by the Exchange in its advertising program, 
just as they are used in today's industry-wide advertising campaigns. 

The historic similarity of problems, ideas, and methods of doing 
business within the industry during the past fifty years carries over 
into virtually every phase of the Florida citrus industry. To those 
who find interest in this history, it is probable that this fact will 
do no more than remind them that there is truth in the well-worn 
phrase that there is nothing ever completely new in Florida citrus. 

The preparation of this history represents many months of re- 
search in the yellowed, musty, and timeworn records that form the 
documentary library of the Florida Citrus Exchange. Its accuracy 
is based on these official documents, and this history is presented 
as an actual record of the progress of the organization. 

Those long hours of research and composition involved in this 
undertaking have been in themselves particularly rewarding to the 
author, for they have provided a new and searching scrutiny of this 
intriguing industry which captures men with the deftness of an 
uncompromising maiden and thereafter refuses to set them free. 

J. T. Hopkins 
Tampa, Florida 
March, 1960 



vu 



Contents 



PREFACE— v 

1. Introduction 1 

2. 1909-1910 6 

3. 1910-1913 11 

4. 1914-1915 20 

5. 1916-1917 25 

6. 1917-1918 31 

7. 1918-1921 41 

8. 1921-1922 49 

9. 1922-1923 60 

10. 1923-1924 66 

11. 1924-1925 74 

12. 1925-1926 83 

13. 1926-1927 88 

14. 1927-1928 95 

15. 1928-1929 103 

16. 1929-1930 109 

17. 1930-1931 117 

18. 1931-1932 124 

19. 1932-1933 129 



INDEX— 265 

20. 1933-1934 136 

21. 1934-1935 143 

22. 1935-1936 150 

23. 1936-1937 156 

24. 1937-1938 162 

25. 1938-1939 169 

26. 1939-1940 176 

27. 1940-1941 182 

28. 1941-1942 188 

29. 1942-1945 ______ 194 

30. 1945-1946 201 

31. 1946-1947 208 

32. 1947-1948 213 

33. 1948-1950 220 

34. 1950-1952 228 

35. 1952-1954 236 

36. 1954-1956 242 

37. 1956-1958 249 

38. 1958-1959 _ 256 

ix 



Under the beneficent influences of a semi- 
tropical sun, fanned by the breezes from 
three seas, results the finest climate on 
earth summer and winter, especially 
adapted to citrus culture. Away from the 
maddening confusion of modern manufac- 
turing, commerce and transportation, the 
citrus industry invites men of refinement and 
industry to a gentleman's occupation which 
brings one so near to the great white throne 
in a Florida orange grove that, with the 
soul attuned, he can hear the angels sing. 

—J. H. Ross, M.D., 1922. 



CHAPTER 1 



Introduction 



IT WAS a particularly hot and humid day. 
For two days conventioners had been making their way into Tampa 
on horseback, by wagon — and a few by auto and train. And, 
while the convention hall itself was the flourishing Tampa Bay 
Casino, conventioners spread out over the town, lending a feeling 
of nervous excitement to townspeople thereabout. Everywhere 
the talk was about citrus, for this was the annual convention of 
the citrus growers of Florida. The year was 1909 and the month 
was June; and it was on June 1 that the group convened at 10:00 
o'clock in the morning. 

For some thirty years the Orange Growers Convention had 
met in the summertime to discuss problems and techniques of all 
phases of the Florida citrus industry. But in later years one prob- 
lem had begun to emerge that overshadowed all others in every 
discussion: Production of Florida citrus had reached nearly 6,000,- 
000 boxes — enough, it was said, to necessitate some method of 
curtailment in order to curb oversaturation of the nation's markets. 
Others felt that the answer was more probably to be found in some 
kind of organization that could control marketing procedures to 
such an extent that demand could be kept high, and prices like- 
wise at a high level. From this latter group had come a proposal 
four months earlier, on February 26, that a group of intelligent 
citrus growers and businessmen visit the California citrus industry 
to study the obviously successful business methods employed on 



FIFTY YEARS OF CITRUS 

the west coast. The original proposal would have sent a com- 
mittee of six men to make the study. The committee had grown 
to forty-six people before the trip got under way, all of them travel- 
ing at their own expense. 

All this was in the past, on June 1, 1909. The Committee of 
Forty-Six had returned and were prepared to report their impres- 
sions to the assembly of the Florida Orange Growers Convention. 
None of the more than a hundred conventioners knew exactly 
where the day's activities would lead, but there was an air of 
expectancy — something important was in the making. Fans flut- 
tered as conventioners took their seats in the Casino auditorium. 
Here and there were ladies, but the great majority of the assem- 
blage were shirt-sleeved, sun-tanned citrus farmers intensely con- 
cerned with the business at hand. 

At 10:00 o'clock sharp, Josiah Varn of Bradenton, secretary of 
the convention, brought down his gavel and waited patiently for 
the crowd to settle. 

Preliminary matters came first, including a communication from 
the Peninsular Telephone Company extending the free use of its 
lines to the members of the convention who desired to call their 
homes during the two-day meeting. 

Josiah Varn tendered his resignation as secretary of the con- 
vention, saying that the pressure of personal affairs had become 
such that he could no longer adequately care for the affairs of the 
convention. His resignation was accepted on a prevailing motion. 
Charles Walker was appointed to replace Varn as secretary. 

After a score of relatively minor matters were disposed of, Dr. 
F. W. Inman of Florence Villa took the rostrum. Intelligent and 
highly respected in the industry, Dr. Inman's name was to appear 
frequently in connection with the proceedings of the convention. 
"On the 26th of February," he began, "we convened in convention 
to view the better method for harvesting and marketing crops of 
citrus fruit. Previous to that, I had made a trip to California for 
the purpose of studying conditions and their method of conducting 
the fruit business. I made the statement at the convention that, 
if we could send a delegation of intelligent orange growers and 
business men to California to study their methods, I was well con- 
vinced that they would return and bring news to their fellow 
growers which might aid them in forming a substantial organiza- 
tion for the growers of our state." 



INTRODUCTION 

Dr. Inman went on to say that the committee had gone to 
California and had returned, and that they were ready to report 
their findings to the convention. Subcommittee chairmen had been 
appointed for the purpose of expediency, and one by one these 
chairmen filed up to the rostrum. 

Eugene Holtsinger of Polk County came first. Then came 
Thomas Palmer of Tampa, W. S. Hart of Hawks Park, T. B. Quinby, 
and L. R. Skinner. Their reports covered grading, legislation, and 
transportation. 

It was at this point that the subcommittee chairman, Thomas 
Palmer, obviously irritated at the slowness with which the meeting 
was proceeding, took the floor to deliver an important message. 
"I arose for the purpose of suggesting somewhat of a break in 
these proceedings at this point," he said. "I will preface my motion 
with this remark, that I think so far as the general purpose of the 
California Exchange is concerned, that is understood, and minor 
matters and details can be considered later. Now it seems to me 
we are here for the purpose of either adopting or rejecting the 
California plan. We know what the status is; to carry it out, there 
will have to be a lot of committee work done. We want to get 
right down to work, and the balance of the reports from the differ- 
ent committees can be attended to after this question is settled." 

With this message concluded, Palmer addressed Dr. Inman, 
suggesting that he call for a motion adopting the California Citrus 
Exchange plan by the Florida group. A general discussion followed. 

A delegate rose to ask if the railroad development in California 
had not been largely responsible for the progress of the California 
Fruit Exchange. Dr. Inman promptly answered the question: 
"The railroads did not bring about this Exchange, gentlemen; it 
was the one big stick that did it, the California Fruit Exchange. 
We have a condition not inferior to California's. We have just 
as good timber as California; there is no advantage they have that 
we have not. I want to call your attention to all the results and 
success of the California Fruit Exchange. Without it, southern 
California would be scarcely on the map." 

Another delegate rose to his feet and asked: "How can we 
successfully organize an exchange here without knowing what we 
are organizing? I understood it was the purpose of this meeting 
of the convention to act on the information that was received from 
the different committees. It seems to me that the hearing of the 



FIFTY YEARS OF CITRUS 

reports is absolutely necessary before we can make an organization." 

Thomas Palmer replied that most of the reports yet to be heard 
were mechanical in nature and would lend nothing to any decision 
as to whether or not the group should organize. He added: "The 
main thing to do is to say 'We are going to organize/ It seems to 
me the proper thing to do is to either adopt or reject the California 
plan. It is before you now. So far as the Exchange is concerned, you 
cannot know any more about it than you know now by listening to 
the different reports. Remember, there is work to be done. There 
are by-laws to be prepared, and we must arrange the charter." 

Palmer then looked directly at the audience and challenged, 
"Right now, either adopt or reject the California plan. I move that 
this report be accepted and a committee appointed to get to work 
at once." Despite the objections of several delegates, Palmer's 
motion was seconded by J. W. Carson of Frostproof and was finally 
carried unanimously by the group. 

A nominating committee to name a general- committee on or- 
ganization was appointed by Palmer. The committee was to in- 
clude two members from the east coast, two from the west coast, 
and two from the central orange-growing section of Florida. These 
committeemen were Thomas Palmer of Tampa, Josiah Varn of 
Bradenton, W. S. Hart of Hawks Park, F. A. Lane of Fort Myers, 
Finias E. Parker of Arcadia, and L. W. Tilden of Oakland. 

Later that day, the nominating committee brought in the names 
of thirty members of the convention who would form the commit- 
tee for organization. This list included Dr. F. W. Inman, Eugene 
Holtsinger, and J. W. Sample for Polk County; Thomas Palmer, 
W. E. Heathcote, and Solon Pemberton for Hillsborough County; 
W. H. Cook for Putnam County; G. W. Lainheart for Palm Beach 
County; Josiah Varn and John B. Singletary for Manatee County; 
Finias E. Parker, Terrel Fielder, and W. H. Hooker for DeSoto 
County; D. S. Bourland, G. T. Raymond, and H. E. Heitman for Lee 
County; J. F. Corrigan for Pasco County; L. W. Tilden, W. C. Tem- 
ple, and J. H. Lee for Orange County; O. W. Sadler and E. S. 
Burleigh for Lake County; F. G. Sampson and W. B. Gray for 
Marion County; W. A. Fulton for Hernando County; W. S. Hart and 
H. B. Stevens for Volusia County; E. P. Porcher and H. S. Williams 
for Brevard County; Thomas McCarty for St. Lucie County; M. S. 
Burbank for Dade County; and L. H. Montgomery for Alachua 
County. 



INTRODUCTION 

With the appointment of the committee for organization, Dr. 
Inman called for the floor and said: "I take the liberty to impress 
upon this new committee their duties. We realize that this is a great 
measure for the State of Florida. We will meet the most compli- 
cated conditions that can possibly exist. Remember that we are 
going to meet opposition. We are not thoroughly qualified, nor are 
we educated up to the work in hand, but we can improve every 
day. 

"The leopard cannot change his spots in a single night, and the 
work that is before you cannot be consumated at once. I am an old 
man, and not able to do much, but we have young men among us 
who can go ahead and develop. Take hold young men, and make 
this organization one that we will all be proud of. We can bring 
our fruit from the grower to the consumer, as does the California 
organization, and we can bring a better quality of fruit." 

Thus on June 1, 1909, the first few faltering steps toward the 
organization of the Florida Citrus Exchange were taken. 

Although there were other matters to come before the conven- 
tion, the ones mentioned formed the basis upon which was created 
the Florida Citrus Exchange, which for many years to come would 
rule as the largest single element in the Florida citrus industry. 



CHAPTER 2 



1909^191© 



NO SOONER had the Florida Orange Grow- 
ers decided to organize into a marketing organization, than finan- 
cial matters began to press upon them. There arose the long-range 
need for assessment against growers for support of the new organi- 
zation, but more urgent was the need for funds for the present. 

E. O. Painter of Jacksonville, taking note of the urgency for im- 
mediate money, made the first contribution, saying: "I am willing 
to contribute $100 to start the ball rolling." 

W. R. Fuller of Tampa then commented: "I will make my con- 
tribution $250 if Mr. Painter will." 

Whereupon E. O. Painter raised his contribution to $250. 

Other initial contributors included Overstreet Crate Company 
of Orlando; Wilson and Toomer of Jacksonville; W. W. Clark, 
mayor of Bartow; W. C. Temple of Winter Park; W. A. Merryday 
Company of Palatka; Swann and Holtsinger of Tampa; C. M. Broad- 
water of Orlando; Carvey Brothers of Fort Myers; W. H. Baum of 
Crystal River; Lee County Packing Company of Fort Myers; Fer- 
guson and Long of Winter Haven; George E. Coplin of Winter 
Haven; CM. Barton of Jacksonville; Connor and Shallaberger of 
Bartow; N. H. Fogg of Altemonte Springs; F. D. Waite of Palmetto; 
H. A. Ward of Winter Park; Miles and Lane of Olga; W. D. Taylor 
of Ocala; E. L. Pearce of Clearwater; a Mr. O'Brien of Seffner; and 

F. H. Adams of Dunedin. 

With the temporary arrangement for money completed, the con- 

6 



1909-1910 

vention broke up into a series of committee meetings that occurred 
almost daily for the next six weeks. But, spurred on by the de- 
termination of the organizational leaders, the committees accom- 
plished many things by July 22, 1909, when the entire membership 
of the new organization was called into convention. 

Progress of the various committees was reported by Chairman 
Thomas Palmer in a lengthy address. Palmer told the group that 
the Florida Citrus Exchange was, as of that date, "a living active be- 
ing in the State of Florida." He added: "It is here for all time to 
stay, for the benefit of the growers of Florida; it is here under the 
control of the growers of Florida, and will continue under their 
control." 

Palmer reported that committees had selected the city of Tampa 
for the permanent headquarters of the Exchange, and that the bus- 
inessmen of the city had agreed to pay the Exchange's office rental 
for two years. He told the grower audience that the board of di- 
rectors had elected Dr. F. W. Inman as president of the Florida 
Citrus Exchange, and that W. B. Gray of Tampa had been elected 
first vice-president. He also reported that R. P. Burton, a former 
Florida citrus man who had gone to California after the freeze of 
1887, had been released by the California Fruit Exchange to the 
Florida Citrus Exchange as its first general sales manager. 

Other important developments up to the meeting of July 22 in- 
cluded the agreement with California that the new organization 
could "borrow" J. A. Reid, California Fruit Exchange organizer, for 
the purpose of organizing local associations which would build and 
support their own packinghouses. A business manager, M. E. Gil- 
lett of Tampa, had been named, and Thomas Palmer was named as 
the Exchange's first attorney. 

It is interesting to note that Palmer made the first pledge of fruit 
for marketing under the new organization, but at the meeting of 
July 22 all members were urged to sign contracts pledging their 
fruit to the Florida Citrus Exchange. It was at this meeting that 
Palmer resigned from the board of directors to accept employment 
as the Exchange's legal counsel and R. C. Peacock was named first 
cashier of the Exchange. 

Total pledges of fruit now reached 201,600 boxes, pledged by 
W. C. Temple, R. P. Burton, Thomas Palmer, G. T. Raymond, J. W. 
Sample, M. S. Burbank, W. B. Gray, Solon Pemberton, M. E. Gillett, 
G. W. Lainheart, Josiah Yarn, H. E. Heitman, W. S. Hart, H. E. 



FIFTY YEARS OF CITRUS 

Carlton, D. S. Bourland, O. W. Sadler, E. S. Burleigh, J. F. Corri- 
gan, L. W. Tilden, W. E. Heathcote, J. E. Kilgore, W. A. Fulton, 
W. M. Pierson, C. A. Boynton, J. B. Pyland, F. H. Adams, J. B. Sin- 
gletary, G. E. Koplin, and Z. C. Chambliss. 

From this original pledge of fruit the Florida Citrus Exchange 
gained stature quickly, attained financial stability through borrow- 
ing privileges made possible by a $50,000 line of credit, and became 
in itself a legally certified cooperative organization for the purpose 
of marketing Florida citrus fruit. 

The minutes of the first few meetings of the Exchange are 
lengthy and, as board meetings still do, rambled from one subject to 
another before entirely disposing of the first. Perhaps the most criti- 
cal problem facing the cooperative was the organization of local 
associations for the purpose of banding growers together and pack- 
ing their fruit. 

Under the direction of J. A. Reid, the California organizer, local 
associations were in various stages of organization into sub-ex- 
change districts. By August 25, 1909, one association to be known 
as the Haines City Growers Association was already in the process 
of packing fruit under the Exchange system. 

On September 25, 1909, General Sales Manager Burton told his 
board that he had appointed salesmen in Detroit, Montreal, Toron- 
to, New York, Buffalo, Rochester, Albany, Syracuse, Pittsburgh, 
Cleveland, Toledo, Evansville, Fort Worth, Memphis, Selma, Hat- 
tiesburg and Meridian. Also in September, 1909, the Florida Cit- 
rus Exchange hired its first press agent, R. H. Rose, who was 
employed for a period of three months at a salary of $50 per week 
and expenses. Employed as assistant to the general manager was 
R. C. Peacock, who had previously served the Exchange as cashier. 

At the October, 1909, meeting of the board, it was determined 
for the first time that the Exchange could expect to handle in ex- 
cess of one million boxes of fruit during its first year. An estimate of 
operating expenses placed the cost of operating the Exchange at 
$243,000. The first retain was established at 12 cents per box, based 
on the expected movement of two million boxes of fruit during the 
second season. For the balance of 1909 the transactions of the board 
of directors apparently centered mostly on money matters. At 
periods during this time, their balance sheets indicated an extreme- 
ly precarious position, and, individual members of the board often 
used personal funds to meet payrolls and other operational expenses. 

8 



1909-1910 

Some bitterness apparently existed between the board and vari- 
ous Tampa banking facilities at the time, because of the banks' 
reluctance to accept contracts for fruit as security for operational 
loans to the Exchange. More than one member of the board sug- 
gested that all money transactions be transferred to other cities in 
the state, but as the newly organized cooperative grew in size and 
stature, these motions were quieted. 

It is interesting to note that an appropriation of $5,000 was 
made in this era for advertising purposes, and represents, so far 
as this writer is able to determine, the first Florida citrus consumer 
advertising program. 

Several problems involving nonpayment of assessments by as- 
sociations had already begun to appear, and a move to deduct these 
assessments from sales returns was eventually adopted early in the 
year 1910. Assessments at this time amounted to 12.5 cents per box 
for the central exchange plus 2.5 cents for the sub-exchanges. 

While a complete list of associations in the exchange at the end 
of 1909 is not in the minutes of board meetings, reference is made 
to a number of sub-exchanges and associations, including Florence 
Villa and the Haines City group, Arcadia Citrus Sub-Exchange, 
Coconut Grove Citrus Growers Association, Crescent City Citrus 
Growers Association, Highland Citrus Sub-Exchange, Indian River 
Citrus Sub-Exchange, Lake Como Citrus Growers Association, 
Leesburg Citrus Sub-Exchange, Manatee Citrus Sub-Exchange, 
North DeSoto Citrus Sub-Exchange, Naranja Citrus Growers As- 
sociation, Orange County Citrus Sub-Exchange, Owanita Citrus 
Growers Association, Orange City Citrus Growers Association, 
Pinellas Citrus Sub-Exchange, Polk County Citrus Sub-Exchange, 
Pomona Citrus Growers Association, and Volusia County Citrus 
Sub-Exchange. 

By the end of 1909, the Northern sales offices payroll included 
thirty-nine employees and was reaching significant proportions. The 
payroll of the Tampa headquarters had likewise been growing at 
a rapid rate, so that it, too, included 39 employees by January 1, 
1910. 

These employees were: R. P. Burton, sales manager; M. E. Gil- 
lett, general manager; Charles G. Harness, cashier; O. G. Cook, 
traffic manager; W. C. Hewitt, inspector; R. L. Goodwin, organizer; 
R. H. Peacock, assistant to the general manager; Joel Whitley, 
assistant to the sales manager; L. Satterfield, stenographer; E. D. 

9 



FIFTY YEARS OF CITRUS 

Dow, claim clerk; A. S. Hall, bookkeeper; K. S. Clark, recorder; 
H. E. Long, diversions; G. H. Rehbaum, stenographer; D. E. Brun- 
ner, stenographer; Jessie Wauchope, stenographer; John Boyd, 
stenographer; Eugene Reppert, stenographer; C. M. Adams, Jack- 
sonville locals; Anna Pexa, stenographer; Evelyn Owen, stenog- 
rapher; A. L. Strickland, railroad records; C. J. Gunn, incoming tele- 
grams; Robert Sinclair, incoming telegrams; B. J. Cobb file clerk; 
C. J. French, telegrams; Fred Parslow, telegrams; R. W. Erbaugh, 
stenographer; George E. Bulwinkle, outgoing telegrams; Sam Har- 
rison, mail clerk; Rosa Cuthbert, stenographer; R. E. Norman, 
mail clerk; Frank Parker, mail clerk; Taylor Murphy, file clerk; 
Henry Torres, telephone; and George Pexa, messenger. 

At the beginning of the new year, 1910, the Flordia Citrus Ex- 
change had accumulated accounts receivable amounting to $25,468, 
furniture and fixtures valued at $5,633, and had $12,702 in cash. 
Liabilities amounted to $35,314. A brief note in the minutes with 
regard to this financial condition reads as follows: "The above 
covers assessment on fruit shipped up to January 15th. District Man- 
agers' salaries paid to January 15, and office salaries to February 1. 
The surplus will pay all brokerage and other bills. We are, there- 
fore, ahead the amount of assessment on fruit shipped between 
January 15th and February 1, 1910, estimated at 100,000 boxes. ,, 

This, then, was the general picture of the Florida Citrus Ex- 
change at the close of 1909. The board of directors, first appointed 
by the nominating committee in July, continued to meet weekly, 
and their discussions ranged widely over such subjects as count and 
packs to special springs for fruit wagons. 

The board at this time included Dr. F. W. Inman, president; 
W. B. Gray, first vice-president; J. W. Sample, second vice-presi- 
dent; and E. Holtsinger, W. E. Heathcote, W. A. Fulton, W. S. 
Hart, H. E. Heitman, W. C. Temple, S. L. Griffin, and Josiah Varn. 
Thomas Palmer continued as the attorney for the Exchange. 



10 



CHAPTE R 3 



1910^1913 



THE YEAR 1910 began with little change 
in the progressive structure of the Florida Citrus Exchange. The 
minutes for that year include reference to a meeting in which A. H. 
Kay, Exchange general Northern manager, brought a Mr. Fleming, 
president of the Georgia Peach Growers Association, to Tampa to 
discuss the possibility of the Exchange handling peaches through 
their sales organization during the following summer months. The 
Exchange board looked favorably on the proposition at that time, 
but took no positive action. 

Also in April, attorney Thomas Palmer, who had been one of 
the stalwarts of the Exchange organization, asked for favorable 
consideration of his request for resignation as the legal counsel for 
the Exchange. His request was accepted and William Hunter was 
subsequently appointed. Thus began a long association with the 
Exchange — one that lasted until the present legal counsel replaced 
Hunter in 1934. 

The resignation of M. E. Gillett as general manager was also 
accepted in 1910. Gillett, who several times had discussed this 
matter on a personal basis with members of the board, seemed 
overburdened by the many details of the office. In his formal re- 
quest for resignation, he told the board that he was not at heart an 
office man, that he missed the out-of-doors, and that his health had 
suffered as a result of the confinement to the office. The board ac- 
cepted his resignation and named W. C. Temple general manager. 

11 



FIFTY YEARS OF CITRUS 

Not long after the employment of Temple, a matter of relative 
rank arose between the general sales manager, R. P. Burton, and 
Temple, in which the board was asked to clarify the position of 
each. In a long letter to members of the board, Burton requested 
that they make it definitely clear to all employees and affiliates that 
the general manager had direct and general supervision over all 
departments and functions of the Exchange. This was accomplished 
to the credit of both Burton and Temple, and the end result was 
apparently a better organization with a clear-cut channel of staff 
authority. 

The death of Dr. F. W. Inman in November, 1910, was a critical 
blow to members of the organization who had leaned heavily on 
the aging man. His death was deplored by many who anxiously 
viewed the future of the cooperative, and who were concerned about 
the mold the organization might take without him. Beloved and re- 
spected by the industry, Dr. Inman had carried much of the re- 
sponsibility for convincing growers of the value of cooperative 
marketing. His passing moved the board to compose a long resolu- 
tion in his memory. One paragraph of the resolution seems to sum 
up the sentiment of the members of the Exchange for their de- 
ceased president: "His integrity, his benevolence, his sterling char- 
acter, stand as a monument to his memory, and a fit example for our 
emulation; and should nerve us to our greatest efforts to consum- 
mate and perpetuate the work he so well began/' 

Dr. Inman was buried at Lake Alfred on a small plot now known 
as Inman Park in recognition of the outstanding life he led. His 
final resting place overlooks the Citrus Experiment Station, where 
men of science today pursue dreams of greater things to come in 
citrus culture and process. To the researcher of these historic items, 
there is a nostalgic note in the death of Dr. Inman who, only a 
few short months earlier had said: "I am an old man, and not able 
to do much, but we have young men among us who can go ahead 
and develop. Take hold, young men, and make this organization 
one we will all be proud of." 

Other commemorative resolutions flooded into the Tampa office 
from virtually every association in the Exchange system and from 
the California Fruit Exchange, as well as from industrial acquaint- 
ances oi the highly regarded president. In the inexorable pattern of 
life, Dr. Inman's words were a prophecy of things to come, and the 
younger men were, indeed, destined to take hold. The minutes still 

12 



1910-1913 

include the short hand-written note of Dr. Inmans widow in re- 
sponse to the board's resolution. 

The Exchange's first vice-president, Eugene Holtsinger of Polk 
County, stepped into the difficult role of top executive and, to his 
credit, the Exchange continued to develop under the careful guid- 
ance of the board of directors. 

At the close of 1910, the board of directors included Eugene 
Holtsinger, W. B. Gray, J. W. Sample, W. E. Heathcote, George 
Koplin, H. J. Drane, W. N. Camp, L. W. Tilden, Josiah Varn, W. A. 
Fulton, J. M. Weeks, J. P. Mace, M. S. Burbank, W. S. Hart, and 
C. E. Stewart. 

While 1909 and 1910 were years full of problems and almost 
daily crises for the Exchange's board, it is apparent that board mem- 
bers were conscientiously devoted to the work they had patterned 
for themselves. By early 1911, however, the routine of weekly board 
meetings and the generally favorable financial position of the Ex- 
change had begun to make these meetings somewhat monotonous 
for many members. There were times when there were not even 
enough members to make up a quorum for the meetings. The 
situation became so drastic that a list of board members and their 
attendance at meetings was published in the February 1, 1911, 
copy of the official minutes, in the hope that this would help to alter 
the situation. The number of absences ranged from those of Eugene 
Holtsinger, who had missed only three meetings during the period 
from June 7, 1910, to January 25, 1911, to those of C. E. Stewart 
who had failed to attend twenty-seven meetings during the period. 

The attendance record apparently did little good, for the min- 
utes of February 22, 1911, are contained on one page, which bears 
in large letters the notation "Only Two Members Present. Absent 
... All The Rest Of The Directors. They Know Who They Are 
Without Mentioning Any Names. More Interest Should And Must 
Be Taken In Attending These Meetings." 

On March 15, 1911, a meeting took place that laid the founda- 
tion for matters of signal importance. The minutes are quoted: 

The general manager [W. C. Temple] presented to the board in 
detail certain correspondence exchanged by him with Mr. Robert 
Kennedy Duncan, director of Industrial Research and professor of 
Industrial Chemistry, at the University of Pittsburgh, and at the 
University of Kansas, in regard to the utilization of cull oranges, 
and of orange juice. 

13 



FIFTY YEARS OF CITRUS 

After full discussion, it was moved by Mr. Koplin, duly seconded 
by Mr. Drane, that a committee consisting of Mr. Holtsinger, Mr. 
Gray and Mr. Temple be, and hereby is, appointed to look into the 
matter of the work done and results accomplished by Mr. Duncan, 
and report to the board at a later meeting as to the advisability of 
having Mr. Duncan come to Tampa for a conference in regard to 
instituting a line of research in Florida as to the utilization of cull 
oranges and of orange juice. 

The April 15 minutes of the board meeting further discussed 
this matter: 

Mr. Temple representing the committee composed of himself, 
Mr. Holtsinger, Mr. Gray and Mr. Burton, which was appointed by 
the board at a previous meeting to take up with Professor Robert 
Kennedy Duncan, the matter of the preserving the juice and util- 
izing the by-products of the Florida orange, reported to the board 
that Professor Duncan had come to Tampa, upon their invitation, 
and had conferred with the committee. 

And that the aforesaid committee would recommend to the board, 
the signing of a contract with the University of Pittsburgh, or Uni- 
versity of Kansas, for an investigation to be conducted by Professor 
Duncan along the lines mentioned for a term of two years at the 
expenditure of $1,000 per year in support of the investigation, the 
amount and nature of the bonus to be paid the researcher to be de- 
cided upon at a later date. 

On the basis of information from all known available records, 
this research represents the very first endeavor to preserve Florida 
citrus juices in such a manner as to create an additional utilization 
factor for the Florida citrus industry. The foresight of the board in 
this matter can well be recognized by today's citrus leaders, and it 
is, perhaps, the first in a long series of contributions by the Ex- 
change to the benefit of the entire Florida citrus industry. 

On May 9, 1911, Florida Citrus Exchange shipments neared the 
seasonal 1,000,000 box mark which had been predicted the year 
before, and receipts for the 1910-11 season for the first time went 
over the $100,000 level, totaling $106,393.69 for the period until 
May, 1911. At the conclusion of this season, the Exchange board 
included Eugene Holtsinger, W. B. Gray, J. W. Sample, George 
Koplin, W. E. Heathcote, W. A. Fulton, J. M. Weeks, Josiah Varn, 
W. N. Camp, H. J. Drane, J. P. Mace, L. W. Tilden, W. S. Hart, 
G. W. Holmes, W. T. Carter, M. S. Burbank, and C. E. Stewart. 

14 



1910-1913 

The minutes of the first regular meeting of the newly elected 
board for the 1911-12 season show that most of the board members 
for the preceding season were carried over. The board continued 
with Eugene Holtsinger as president, W. B. Gray as first vice-presi- 
dent, and W. E. Heathcote as second vice-president. The directors 
were George E. Koplin, H. J. Drane, L. W. Tilden, Dr. J. H. Ross, 
W. S. Hart, J. P. Mace, W. T. Garter, Edward Parkinson, Barney 
Kilgore, Josiah Varn, W. A. Fulton, G. W. Holmes, and J. M. Weeks. 
Not long afterward, however, Barney Kilgore resigned as a direc- 
tor, and was replaced as the Pinellas Citrus Sub-Exchange's repre- 
sentative by Delisle Hagadorn. Another change in the directorship 
was to occur at mid-season with the death of W. N. Camp, who was 
replaced on the board by Jack Camp of Ocala. 

The volume of Exchange fruit in the 1911-12 season was far 
below the hopes of the board, and on April 1, 1912, the Florence 
Villa Citrus Growers Association presented a resolution of con- 
fidence to the board of directors in which they expressed satis- 
faction for the method in which the Exchange had marketed their 
fruit, gave credit for the "satisfactory" condition of the industry to 
the Exchange, and pledged 60 per cent of all Polk County fruit into 
the Exchange. 

The situation had become so dark by May 1, 1912, that the 
board prepared and passed the following resolution to the effect 
that unless greater interest was shown in the Exchange, the board 
would be forced to dissolve the entire organization: 

Be it therefore resolved first, that the present board of directors 
will not take upon themselves the responsibility of effecting the 
dissolution of the Exchange; second, that it will leave final action 
in this matter to be taken by the new board of directors to be elect- 
ed at the annual meeting of the Florida Citrus Exchange the first 
Tuesday in June; third, that it will recommend to the incoming 
board of directors that if by the first of June, 1912, an amount equal 
to 40 per cent of the fruit crop in the State of Florida is signed 
up with the Exchange, that the new board continue to operate the 
Florida Citrus Exchange for at least one additional year; fourth, the 
present board of directors of the Florida Citrus Exchange call to 
the attention of the incoming board that if the present organization 
is continued, that at the close of the present fiscal year of the Flor- 
ida Citrus Exchange, to wit: August the first, 1912, there will be 
a shortage of $30,000 to be met, and they advise the present board 

15 



FIFTY YEARS OF CITRUS 

was obliged to finance a similar deficiency at the closing of the pre- 
vious fiscal year, and feels that it has done its full duty in this 
direction. 

The membership at the third annual meeting on June 4, looked 
with some disfavor upon the resolution, however, and countered 
with action of its own: 

Moved by Mr. Sample, seconded by Mr. Temple, that the re- 
tiring board of directors of the Florida Citrus Exchange turn the 
matters of financing and deficit over to the members of the new 
board of directors for their careful and prompt attention, without 
attempting to specify the details by which they shall handle these 
matters. Motion unanimously carried. 

The newly elected officers of the board for the 1912-13 season 
included Eugene Holtsinger, president; W. B. Gray, first vice-presi- 
dent; and Dr. J. H. Ross, third vice-president. Members were L. W. 
Tilden, G. W. Holmes, J. P. Mace, H. E. Maury, Dr. W. C. Richard- 
son, J. M. Weeks, W. T. Carter, G. W. Harp, Ed Parkinson, George 
E. Koplin, W. E. Heathcote, J. W. Sample, W. A. Fulton, and J. R. 
Williams. 

Some problems involving loyal and efficient packinghouse man- 
agers arose during the summer of this season, and the board of 
directors unanimously agreed to employ seven packinghouse man- 
agers from California for the associations requiring their services. 
Nowhere in the minutes, however, are the names of these trans- 
planted Californians listed. It is reported, however, that this pro- 
curement was actually accomplished and that second-generation 
Californians are still at work in the industry. 

Assessments for the 1912-13 season were established by the 
board at its meeting on October 2, 1912, at 17% cents per box, an 
extra 2% cents being added over the prior year for advertising pur- 
poses. This advertising fund was destined to grow with the years, 
but the first major step in national advertising came during the 
October 16, 1912, meeting, when the board approved expenditures 
of $12,000 for newspaper advertising in New York and the New Eng- 
land states, with an additional $3,000 for an advertising campaign in 
the Good Housekeeping magazine. 

It was during 1912 that the Exchange moved its central offices 
in Tampa to new and much finer quarters in the Citizens Bank and 
Trust Company building in the heart of the city. A lease was ar- 

16 



1910-1913 

ranged for occupancy of most of the eighth floor of the building, 
but before being executed, it was changed to occupancy of all of 
the sixth floor of the bank structure. The minutes make no fur- 
ther mention of this move, but it must be assumed that it was car- 
ried out soon after approval of the lease on April 30, 1913. 

Even the new quarters, however, could not quiet a growing dis- 
sension between several of the key staff members of the Exchange. 
For several months prior to February 18, 1912, trouble had been 
brewing between General Manager W. C. Temple and General Sales 
Manager R. P. Burton. 

It was at the board meeting of February 18 that the matter was 
placed squarely before the board as a result of action by C. G. 
Harness, the cashier, in discharging an employee assigned to the 
sales department. Within the following few months, the increasing 
clashes between Temple and Burton had resulted in the resignation 
of both Temple and Harness, and the scars from this altercation 
were eventually in part responsible for the displacement of Burton 
as general sales manager some months later. The board eventually 
dissolved the office of general manager, and replaced that title with 
the title of secretary and business manager. Although completed 
action of the board took many months, the final alignment of key 
employees included E. D. Dow as traffic manager; and, later, F. L. 
Skelly, the general Northern manager, as general sales manager. 

While this internal difficulty was festering in Tampa, progress 
was being made in the field of citrus canning. A report on record 
from F. Alexander McDermott of the University of Pittsburgh, 
working under the supervision of Professor Duncan, indicated pro- 
gress in the preservation of orange juice in powder, syrup, and liquid 
form. This information, passed on to the board on April 2, 1914, 
moved that group to instruct McDermott to prepare, if possible, a 
sufficient quantity of preserved orange juice for the use of attendants 
at the convention of citrus growers which was scheduled for April 
17 and 18, 1914. 

Earlier, in March, the University of Pittsburgh had extended a 
fellowship to the Florida Citrus Exchange for its continued support 
of the citrus juice preservation program. The fellowship was in con- 
junction with the beneficence of A. W. and R. B. Mellon of Pitts- 
burgh, who had established a permanent organization known as 
the Mellon Institute of Industrial Research of the University of 
Pittsburgh. 

17 



FIFTY YEARS OF CITRUS 

It is interesting to note that during this period the Exchange 
authorized the employment of William Wert of Pittsburgh in its 
Northern sales department. Wert, always a loyal and efficient work- 
er, appeared on the November 5, 1912, payroll for the first time, 
and has continued this employment through the years. At this 
writing February, 1960, Wert is actively and efficiently conducting 
the office of division manager in the Exchange's Cincinnati office. 

The annual meeting of June 3, 1913, saw few changes in the 
membership of the organization from the year prior. The reorgan- 
ization of the board took place at a directors' meeting the next day. 
Dr. J. H. Ross was elevated to the presidency of the Exchange, and 
thus began his long executive service as another distinguished and 
highly respected president. W. B. Gray was elected first vice-pres- 
ident, and Dr. W. C. Richardson, second vice-president. Members 
of the board were G. W. Harp, H. R. Kenyon, G. W. Holmes, E. L. 
Pearce, W. T. Carter, L. W. Tilden, Edward Parkinson, George E. 
Koplin, J. W. Sample, W. E. Heathcote, S. C. Warner, H. L. Bor- 
land, J. P. Mace, Josiah Varn, and W. A. Fulton. 

During the meeting William Hunter was renamed as legal coun- 
sel, L. D. Jones was reappointed secretary and business manager, 
and R. P. Burton continued for a short period as sales manager, 
with F. L. Skelly replacing him eventually, as indicated earlier. 

The remainder of the fiscal year 1913 was marked by feverish 
action and several attacks on the Exchange system of requiring ex- 
clusive control of its members' fruit. To the credit of the board, it 
would appear from the minutes that each case was approached and 
ultimately settled without any relaxation of the contract specifica- 
tions as established under the original charter and bylaws of the 
organization. 

The annual meeting of the members of the Florida Citrus Ex- 
change for 1914 was held on March 31. The membership roll at 
that time listed S. C. Warner, J. P. Mace, H. L. Borland, Ed Park- 
inson, L. W. Tilden, Dr. W. C. Richardson, Dr. J. H. Ross, G. W. 
Harp, G. W. Holmes, W. B. Gray, J. W. Sample, W. C. Temple, W. 
T. Carter, E. L. Pearce, H. R. Kenyon, W. E. Heathcote, Eugene 
Holtsinger, George E. Koplin, Josiah Varn, and W. A. Fulton. The 
Tampa employee payroll at the time included the names of R. P. 
Burton, L. D. Jones, W. T. Haizlip, E. D. Dow, W. T. Covode, H. 
T. Welch, H. C. Allan, A. E. Barnes, J. W. Carty, H. C. Piano, Wal- 
ter D. Painter, Bruce Moseley, E. Burr, Mae Merzwick, Edward G. 

18 



1910-1913 

Martin, Roy Oberholtzer, B. E. Merrill, Anna Pexa, A. Zeigler, P. 
P. Wood, Charles Metcalf, Blanche Gordy, C. V. Sylveria, William 
Gailliard, Bee Howk, Grace DeWolf, and D. H. Morton. This an- 
nual meeting took up and approved several articles of the charter 
and bylaws with amendments being presented by William Hunter, 
the attorney. 

The board of directors' reorganization meeting took place on 
May 6, 1914; the board included Dr. J. H. Ross, president; W. 
B. Gray, first vice-president; Dr. W. C. Richardson, second vice- 
president; and L. W. Tilden, Edward Parkinson, J. W. Sample, H. 
L. Borland, W. T. Carter, J. P. Mace, E. L. Pearce, George Koplin, 
G. W. Harp, H. R. Kenyon, G. W. Holmes, S. C. Warner, W. A. 
Fulton, Josiah Varn, W. E. Heathcote, and Eugene Holtsinger. At 
this time there were twenty-three names on the Northern payroll of 
salaried employees, and an additional nineteen agents affiliated 
with the Exchange. 



19 



CHAPTER 4 



1914^1915 



EVENTS now moved quickly for the Flor- 
ida Citrus Exchange, and the volume of business transacted by the 
board of directors reached such proportions that the minutes and 
other records were greatly abbreviated from what must have been 
the true coverage of matters of sufficient importance to come before 
the board. 

Early in the 1913-14 season, the Thomas Advertising Service of 
Miami had been retained to represent the Exchange in all matters 
of advertising business, and the tone of the feeling among the board 
members seems to have been one of eagerness to advertise as much 
as possible in all markets where the Exchange either had or desired 
distribution. 

It would appear that the board appointed prior to the begin- 
ning of the 1914 season saw fit to exercise more careful control over 
the Exchange administrative and sales staff than previous boards 
had chosen to do. Particularly in the expenditure of Exchange 
money, board action seemed to be required in almost every instance, 
with small margin left for the decisions of the business manager. 

The 1913-14 season saw the Exchange more critically examining 
the grade of fruit sent out by its houses. There is evidence that 
some activity in this regard had been exercised the previous year, 
but in the 1913-14 season the Exchange demanded better grading 
policies from its associations. In addition, a memorandum of June 
26, 1914, specified that all fruit shipped through the Exchange 

20 



1914-1915 

would be packed in boxes with the Exchange brand on the side, 
and that shipping of fruit in plain boxes would cease. 

Also during this period the board decided to invite attendance 
of sub-exchange managers at all board meetings, a practice that 
was carried out for the next two years. These managers, in 1914, 
included C. H. Walker of the Polk Sub-Exchange; H. G. Gumprecht 
of the Manatee Sub-Exchange; A. B. Johnson of the Orange Sub- 
Exchange; H. N. Barnes of the Lee Sub-Exchange; W. W. Bateman 
of the DeSoto Sub-Exchange; and G. A. Neal of the Pinellas Sub- 
Exchange. 

There is sufficient indication in the minutes of this era to sug- 
gest that the Exchange was beginning to experience difficulties in 
the handling of its associations through sub-exchange offices. There 
was also constant agitation regarding the methods employed by both 
the sub-exchanges and the associations in disposing of their mem- 
bers' fruit. 

H. G. Gumprecht of the Manatee Sub-Exchange, for example, 
spoke for the director-representative of that group on January 6, 
1915. He said that the Manatee board of directors was not satis- 
fied with the method of distributing fruit. They felt, according to 
Gumprecht, that too much fruit was shipped to auction points, and 
some other system of marketing should be devised. They suggested 
that fruit should be sent to small towns and disposed of to indi- 
vidual dealers, and that a demand for fruit should be created in 
such towns by special advertising in the local papers. 

On January 15, 1915, the board of directors decided not to at- 
tempt to handle sales of Florida's potato crop after a special com- 
mittee appointed for this purpose reported that "for potent reasons" 
such an undertaking would be unadvisable. Later, on February 
3, 1915, the board heard a letter from the Isle of Pines (Cuba) 
Growers Exchange asking that the Exchange send a representative 
to that area to investigate the possibility of the Florida Citrus Ex- 
change accepting that group as a sub-exchange and undertake the 
task of selling their fruit. This matter was referred to the executive 
committee for further consideration, but the minutes of this period 
do not reflect any further action in this regard. 

On April 14, 1915, a letter from the Boston district sales man- 
ager, George A. Scott, suggested that the implementation of a trade 
name for all Exchange fruit would considerably aid in the promotion 
of Florida citrus. Whereupon Jefferson Thomas of the Thomas ad- 

21 



FIFTY YEARS OF CITRUS 

vertising firm said that this matter had been under consideration, 
and that after many tests the trade name seald sweet seemed to be 
the most suitable. It was promptly adopted by the board, and the 
proper officials were authorized to set about copyrighting it. The 
name itself was most outstanding, and it was to become a familiar 
trade-mark throughout the world. That it was durable is indicated 
by the fact that it remains today the master brand of the Florida 
Citrus Exchange. 

Another historical event occurred at this same meeting on April 
14, 1915. As a result of too many shipments of immature fruit both 
inside and outside of the Exchange system, various board members 
had for some time been expressing concern over this matter. At 
the April 14 meeting, the board finally agreed on a resolution direc- 
ted to the Bureau of Chemistry of the Department of Agriculture 
at Washington requesting that the Bureau "fix a chemical standard 
of maturity which shall apply to inter-state shipments of all citrus 
fruits." 

This action was apparently the forerunner of Florida's ever- 
tightening restrictions on maturity, and must certainly have met 
with much industry opposition at a time when restrictions of any 
sort were vigorously opposed. 

The annual meeting in 1915 was held on June 1. Directors named 
at this meeting were L. W. Tilden of Orange County; H. L. Bor- 
land of Marion County; H. G. Putnam of Indian River Sub-Ex- 
change; H. C. Hatton of DeSoto County; Dr. J. H. Ross of Polk 
County; Ed Parkinson of Lee County; J. W. Ponder of Manatee 
County; G. W. Holmes of the Highland Sub-Exchange; Dr. W. C. 
Richardson of the Hillsborough Sub-Exchange; Austin Roden of 
the Pinellas Sub-Exchange; and C. E. Stewart of the Volusia Sub- 
Exchange. 

At an organization meeting, the newly elected board unanimous- 
ly re-elected Dr. J. H. Ross to the presidency. Other officers in- 
cluded L. W. Tilden, first vice-president; H. L. Borland, second 
vice-president; L. D. Jones was elected to serve again as secretary 
and business manager and F. L. Skelly as general sales manager. 
William Hunter was reappointed as the attorney. 

Tampa office employees at this time, in addition to the executive 
staff named in the foregoing paragraph, included W. T. Covode, 
H. T. Welch, H. C. Allan, B. E. Merrill, D. H. Morton, P. P. Wood, 
J. W. Carty, Grace DeWolf, C. V. Sylveria, W. D. Painter, A. E. 

22 



1914-1915 

Barnes, E. G. Martin, H. C. Holmes, Frank Smith, J. R. Curry, C. 
H. Bucher, F. L. Hunter, Belle Sisk, G. H. Duggins, A. R. Sandlin, 
and C. C. Worthington. Northern sales office employees and agents 
were D. P. Kennedy at Atlanta, E. Temple Ware at Baltimore, 
George A. Scott at Boston, C. T. Allen at Boston, J. A. O'Malley at 
Buffalo, S. B. Wills at Chicago, William Wert at Cincinnati, J. B. 
Miller at Cleveland, J. Craig Allen at Dallas, W. H. Moody at 
Harrisburg, C. W. Chewning at Indianapolis, L. T. McGaughran 
at Memphis; R. H. Holland, J. Cohen, A. J. Casey, Joseph Connolly, 
all at New York, J. J. Reid at Peoria, C. A. Price at Pittsburgh, A. 
J. Neirmann at St. Louis, and C. N. Williams at Washington. 

On November 17, 1915, recently appointed General Sales Man- 
ager F. L. Skelly requested permission to make the appointment of 
an Exchange representative in Detroit. The man he selected was 
H. C. McClaren, who remained as the district manager in Detroit 
until his death in 1951. He was replaced by his son, H. C. Mc- 
Claren, Jr., who continues on the job held by his father. 

During 1915 the question of shipments of immature fruit to the 
Northern markets plagued the Florida Citrus Exchange. A fre- 
quent topic of conversation at board meetings, the situation moved 
President Ross at one point to caution Exchange members against 
the shipment of green fruit. He then succeeded in ramming through 
a resolution that the Florida Citrus Exchange decline to handle any 
fruit that did not measure up to the standard specified, and that 
inspection be made by a person sent to the location by the Tampa 
office. 

An item in the minutes of the October 20, 1915, meeting of the 
board, shows the breakdown of advertising expenditures by the 
Florida Citrus Exchange in concise and specific form. Jefferson 
Thomas, at this meeting, outlined his recommendations for expendi- 
tures during the rest of the year. They were adopted and approved 
as follows: 

Wholesale and Retail Store and Price Cards $ 8,825.00 

Recipe Books, and Poster Stamps 

Magazine Advertising: 9,160.00 

Cosmopolitan 
Good Housekeeping 
Literary Digest 

Streetcar Advertising 500.00 

23 



FIFTY YEARS OF CITRUS 

Additional Magazine Advertising: $1,079.00 

Housewives League Magazine 

Modern Hospital 

Rotarian 

General advertising expenditures, according to the minutes of 
this period, were apparently about $50,000 annually, and the assess- 
ment against sales of the sub-exchanges was firmly established at 
16 cents per box, with all surpluses not exceeding 1 cent per box 
going into the emergency fund. 

By April 16, 1916, the high prices paid by associations for sup- 
plies had caused discussion with regard to the relative necessity for 
forming some sort of central purchasing system which would place 
supplies in the hands of Exchange members at slightly more than 
wholesale cost. To this end, Dr. Ross, Dr. Richardson, L. D. Jones, 
F. L. Skelly, and W. B. Gray were appointed as a committee to in- 
vestigate this possibility. In the following month the Exchange 
Supply Company was legally chartered, and the nucleus for the 
present-day Exchange Supply and Service Cooperative was founded 
in this action by the board of directors. 

On June 8, 1916, L. D. Jones, the third top administrative execu- 
tive of the Exchange, offered his resignation to the board. It was 
accepted by the board with expressions of regret. Jones apparently 
had served the board well, and he resigned with good feeling on all 
sides. Eventually named to fill the vacancy left by Jones was C. E. 
Stewart, Jr., of DeLand, manager of the Volusia Sub-Exchange. 

This meeting, the annual reorganization meeting of the board, 
saw Dr. Ross re-elected to the presidency, J. W. Ponder chosen as 
first vice-president, and Z. C. Chambliss elected second vice-presi- 
dent. Staff officers remained the same as for the previous season. 

As the Exchange prepared to go into the 1916-17 season, its 
board of directors consisted of Dr. Ross from Polk County, Z. C. 
Chambliss of Marion County, G. W. Harp of DeSoto County, L. 
W. Tilden of Orange County, J. P. Felt of Highland Sub-Exchange, 
J. W. Ponder of Manatee County, Dr. W. W. Birchfield of Pinellas 
County, Dr. W. C. Richardson of Hillsborough County, H. G. Put- 
nam of Indian River Sub-Exchange, C. E. Stewart of Volusia Coun- 
ty, and F. W. Perry of Lee County. 



24 



CHAPTER 5 



1916^1917 



THE Florida Citrus Exchange entered the 
1916-17 season in what was considered by the board to be a sound 
financial condition. The organization was functioning smoothly and 
a general feeling of optimism is apparent from the recorded minutes 
of that era. In retrospect, the Florida Citrus Exchange was facing 
one of its most difficult seasons, but the board was of course un- 
aware of this as it held its first meeting of 1916 on June 21. 

It was at this meeting that the Lakeland Chamber of Commerce 
requested by letter that the Florida Citrus Exchange move its head- 
quarters from Tampa to Lakeland. The board was disposed to 
invite the Lakeland group to appear at its next meeting for the 
purpose of further discussing this matter. Other community dele- 
gations were also invited to discuss the movement of Exchange 
headquarters to their particular localities. The matter of removing 
the location of headquarters to some other locality was put to a 
vote later in the year, and the motion was lost and considered dead 
at that time. 

During this period, there is indication that the Exchange seri- 
ously considered the first of what would prove to be a long list of 
premium gadgets aimed at inducing the American housewife to 
purchase more citrus fruit. It is interesting to note that the Ex- 
change board, at its meeting on September 20, 1916, decided to 
consider a fruit juice extractor which could be manufactured at low 
cost. During the following meeting, held on October 25, 1916, the 

25 



FIFTY YEARS OF CITRUS 

board went on record as being opposed to the idea because of the 
high cost of manufacture. As one board member put it, "The Ex- 
change is not a general merchandising company and I recommend 
that further consideration of the extractor be dispensed with." 

The board declined during the October meeting to venture into 
the billboard advertising field. It did, however, make several 
motions intended to safeguard price information that was being 
distributed to sub-exchanges in bulletin form. As this information 
was somehow being "leaked" to competing sales agencies — to the 
great concern of the Exchange board — a special committee was ap- 
pointed to look into this matter as well as to examine the entire 
scope of leakage of Exchange confidences. 

On November 14, 1916, the Exchange received an invitation from 
the South Florida Fair and Gasparilla Carnival Association to pro- 
vide a display and to furnish a citrus float. The board agreed to an 
expenditure of no more than $75 for this purpose, and thus estab- 
lished a precedent that was to exist for many, many years. 

About a month later, on December 20, 1916, the board recorded 
the employment of H. G. Gumprecht, Jr., son of the Manatee Sub- 
Exchange manager, as assistant to the Chicago district manager. 
Gumprecht had gone to the Chicago market in August in order to 
acquaint himself with the complexities of auction selling. Forty- 
three years later, at the time of this writing, H. G. Gumprecht, Jr., 
is on the active list of key employees of the Florida Citrus Exchange, 
having served the organization continuously from 1916 to 1959. 

The beginning of the new year found the Florida Citrus Ex- 
change involved in several internal but routine difficulties, includ- 
ing certain problems in the bulky channels of communications that 
required all transactions with associations to pass through the sub- 
exchange offices. Most of these problems became unimportant, 
however, when Florida experienced the historic freeze of 1917 dur- 
ing the first week in February. Like all those in the citrus industry 
at the time, the Florida Citrus Exchange suffered greatly and was 
placed in the position of immediate retrenching of all activities. 

A motion by F. W. Perry, seconded and unanimously adopted by 
the board at its first meeting after the freeze, is recorded in the 
minutes of the February 7, 1917, meeting. The motion outlined the 
confidence of the board in its executive staff in the following words: 
"The directors of the Florida Citrus Exchange hereby express their 
confidence in the executives of the organization and their approval 

26 



1916-1917 

of the handling of matters by their officials since the recent cold 
wave, and request that the board be furnished at its regular Febru- 
ary meeting with an explicit statement of our financial condition 
and prospects and a recommendation that from this time on the 
management exercise such economy and retrenchment as seems 
feasible without crippling our efficiency." 

No sooner had the industry adjusted itself to hard times inci- 
dent to the freeze, which apparently reduced production to unimpor- 
tant proportions, than another situation developed to further com- 
plicate both business and social progress across the country. For 
some three years the countries of Europe and Asia had been en- 
meshed in a great war triggered by conflict between Austria and 
Serbia. Slowly the conflict grew until it involved all the major 
nations of the world with the exception of the United States. Then, 
as the Germans began unrestricted submarine warfare early in Feb- 
ruary, 1917, the United States broke off diplomatic relations with 
the German government, which had declared war against France 
and Belgium. Great Britain had declared war on the Germans in 
1914, and the Allies had waged the world's most enveloping war 
on record. But, with the beginning of Germany's unrestricted sub- 
marine onslaught, warlike incidents against the United States led 
to a declaration of war on Germany by the United States on April 
6, 1917. These were times of great patriotism by Americans, and 
the Florida Citrus Exchange initiated a series of programs geared 
to assist the nation in its so-called "war to end war." 

At the board meeting of April 25, 1917, the Exchange adopted 
and forwarded to the President of the United States the following 
resolution: 

His Excellency, The President of the United States 
Washington, D. C. 

Your Excellency: 

The Board of Directors of the Florida Citrus Exchange by 
resolution unanimously adopted today have the honor to 
tender the services of its organization in Florida and the princi- 
pal cities of the United States, where we have salaried repre- 
sentatives, to be used by the Department of Agriculture, or 
other branches of the Government in the distribution of food 
products. 

The Florida Citrus Exchange is a non-profit, co-operative or- 
ganization of growers, organized for the purpose of marketing 

27 



FIFTY YEARS OF CITRUS 

citrus fruits, the working force of which is composed of trained 
men of known efficiency in the distribution of foods. We have 
every reason to believe that their services would be of special 
value to the Government in this direction at this time. 

If desired a representative will call on the proper authority 
to go into further details. 

BY THE BOARD OF DIRECTORS 

J. H. Ross, President 

Following adoption of the above resolution at the April 25, 1917, 
meeting, the board also heard a short message by C. C. Hare, United 
States Department of Agriculture, with regard to the citrus indus- 
try's responsibility in time of war. 

Following Hare's address, the motion was made, seconded, and 
passed that the board of directors of the Florida Citrus Exchange 
pass a resolution stating that it was the patriotic duty of every citi- 
zen of Florida to increase his efforts to produce more staple food 
products, that the board urge the Florida legislature to take some 
action looking to the creation of a commission to encourage the pro- 
duction and conservation of food products for the state of Florida, 
and that copies of this resolution be telegraphed to the Governor 
of Florida, the Senate, and the Speaker of the House. 

It can be well understood that the Florida Citrus Exchange, fol- 
lowing a disastrous freeze in February and this nation's entry into 
the war in April, 1917, was concerned about many phases of its op- 
eration. Because of this concern, a committee of board members, 
including J. W. Ponder, S. C. Warner, L. W. Tilden, G. W. Harp, 
T. L. Sams, and Dr. J. H. Ross, was asked to investigate the whole 
economy of the Exchange and to offer recommendations designed 
to see the organization through trying times. 

On May 11, J. W. Ponder reported on the committee's findings: 

Your committee spent the entire day considering the matters 
turned over to it for investigation. The present status of our organ- 
ization was carefully gone into and the future needs and operations, 
based on the best information obtainable at this time, were care- 
fully figured out from a most conservative standpoint. 

It is impossible, at this time, to estimate with much certainty the 
amount of fruit that the Exchange will ship next season, but after 
considerable discussion of the information available, an estimate of 
500,000 boxes was thought conservative. The following recommen- 
dations are made with this condition in mind. 

28 



1916-1917 

The financial condition of our organization was carefully inves- 
tigated, and although the exact amount of funds needed cannot be 
determined at this time, owing to the uncertainty of the amount of 
our shipments, still it is apparent that retrenchments must be made 
and the strictest economy practiced. Even with the following rec- 
ommendations carried out, it will be necessary to borrow some 
money next fall to carry on the business until returns begin to come 
in in such amounts that will be sufficient to meet our expenses. 

The committee wish to state that the work and services of all 
of our employees was fully considered and the service generally 
was very satisfactory. 

Ponder then went on to recommend that the services of certain 
employees be dispensed with in view of the financial situation: 

With the small amount of fruit there will in all probability be 
to ship next season, many sub-exchanges cannot be self-supporting 
and a combination of various sub-exchanges is recommended. 

Much thought and due consideration was given to this matter 
and an arrangement was sought that would be of the greatest profit 
to all concerned. 

It is recommended that Manatee, Hillsborough and Pinellas 
sub-exchanges be combined and that H. G. Gumprecht, present 
manager of Manatee Sub-Exchange, be placed in charge, and that 
Highland and Marion sub-exchanges be combined and that Mr. 
Barnes be placed in charge. This move will put efficient men in 
charge of these territories and sufficient fruit will come through 
these offices to meet the expenses this year. Of course, each sub- 
exchange would still maintain its organization and have its repre- 
sentation on the board. 

The report of the Ponder committee was accepted by the board, 
and the business manager, C. E. Stewart, was directed to effect the 
recommended changes. 

Thus the Florida Citrus Exchange concluded the 1916-17 season 
under difficult circumstances imposed by both nature and society. 
On June 5, 1917, the board for 1917-1918 was seated with Dr. J. H. 
Ross of Polk County, G. M. Wakelin of the Highland Citrus Sub- 
Exchange, D. C. Gillett of the Hillsborough Sub-Exchange, J. W. 
Ponder of Manatee County, Dr. J. E. Klock of Marion County, T. 
L. Sams of Indian River Citrus Sub-Exchange, J. A. Scarlett of 
Volusia County, L. W. Tilden of Orange County, and L. M. Ham- 
mel of DeSoto County. 

29 



FIFTY YEARS OF CITRUS 

Dr. Ross was renamed to the presidency of the board, L. W. Til- 
den was elected as first vice-president, D. C. Gillett as second vice- 
president, C. E. Stewart as secretary and business manager, and 
W. T. Covode as cashier. William Hunter continued as legal coun- 
sel, and F. L. Skelly was again named general sales manager. 



SO 



CHAPTER 6 



1917^1918 



IN SPITE of the freeze and the war, the 
Florida Citrus Exchange seemed to bounce back into a relatively 
sound position by the close of the 1917-18 season. Minutes of the 
board meeting of June 20, 1917, show that there was considerable 
concern over whether $25,000 would be sufficient funds to properly 
advertise seald sweet fruit. 

Jefferson Thomas of the Thomas Advertising Service, who had 
directed the agency phase of the Exchange's advertising program 
since 1913, spoke at length to the board and there is indication that 
the board eventually decided that the $25,000 expenditure would 
be sufficient for the time. 

Board member L. W. Tilden, at the same meeting, introduced 
the matter of Exchange sales of vegetables, long an issue of heated 
discussion among board members. From the minutes of this era, 
it seems apparent that several sub-exchanges had been handling 
vegetables for their citrus members. The question of handling 
vegetables obtained from all sources had been posed for many 
months, however, and Tilden asked for an organization of as many 
vegetable associations as possible to work under the same system 
used for fruit sales. 

While Tilden's motion was seconded and carried, it is interesting 
to note that the September 26, 1917, meeting of the board passed a 
resolution requiring that purely vegetable growers must become 
members of the Exchange or of an Exchange organization before 

31 



FIFTY YEARS OF CITRUS 

sales could be conducted for them. Thus, a member of an exchange 
association or sub-exchange for citrus could utilize Exchange facili- 
ties for the sale of his vegetables, but a vegetable grower not al- 
ready affiliated with the Exchange would be required to become 
affiliated before the organization would undertake to market his 
vegetables. 

On July 18, 1917, the Florida Citrus Exchange voted to join in 
the convention of the International Apple Shippers, and contracted 
for a half-page advertisement insert in the program of that organi- 
zation. This initial participation in the apple convention was the 
forerunner of present-day participation which reaches considerable 
proportions. Through the years the Florida citrus industry has 
found it expedient to take part in the annual International Apple 
Association convention which is held during the short off-season of 
the citrus industry. The convention is an excellent opportunity for 
citrus interests to reach a great portion of the fruit trade and, most 
important, of produce buyers from all over the nation. 

At the beginning of the 1917-18 season, the Tampa office pay- 
roll included C. E. Stewart, business manager; F. L. Skelly, sales 
manager; C. N. Williams, assistant sales manager; Edna Nail, sten- 
ographer; Frank Smith, file clerk; E. D. Dow, traffic manager; Grace 
DeWolf, stenographer, William T. Covode, cashier; W. F. Painter, 
mail clerk; J. Reed Curry, organizer; A. E. Barnes, inspector; J. B. 
Rust, inspector, H. C. Allan, auditor; and Jennie Smith, stenograph- 
er. William Hunter continued to act as the Exchange's legal coun- 
sel. 

At its meeting on September 26, 1917, the Exchange issued the 
following resolution praising the work of the Florida State Plant 
Board: "Resolved that the directors of the Florida Citrus Exchange, 
assembled at their meeting this 26th day of September, 1917, here- 
with express their appreciation of the services of the Florida Plant 
Board and particularly of its director, Professor Wilmon Newell, in 
its energy and efficiency in its sphere of effort and notably in its 
splendid work in the control and eradication of citrus canker." 

At this same meeting, a proposition was read to the board by 
the advertising committee recommending a special fresh fruit cam- 
paign in the Literary Digest magazine. The advertising cost was 
placed at $2,585, and the board voted in favor of the motion as 
presented by board member D. C. Gillett of Hillsborough County. 

It was also at this meeting of September 26, 1917, that the board 

32 



1917-1918 

took up the problem of forming an organization for the purpose of 
providing financial aid to growers. Business Manager C. E. Stew- 
art was instructed to pursue this matter, and it seems apparent that 
this action was to provide the foundation for the eventual organiza- 
tion of the present-day Growers Loan and Guaranty Company, 
which annually lends more than $3,000,000 to growers and shippers 
to assist them in producing and shipping citrus. 

The matter of financing, always of prime interest to the board, 
had, during the first several years following the organization of the 
Exchange, taken several directions designed to provide financial 
assistance to growers. One such plan was the maintenance of Ex- 
change accounts at banks throughout the citrus-growing area, par- 
ticularly where sub-exchanges were located, so that bankers would 
look more favorably on loans to members of the Exchange. 

This system apparently had its disadvantages, however, for on 
November 21, 1917, Dr. J. E. Klock, board member from Marion 
County, made the following resolution: 

Whereas, the Florida Citrus Exchange has from time to time 
adopted different policies with respect to the distribution of its 
funds among different banking institutions, and 

Whereas, the spreading out of these funds among a number of 
banks does not create for the Florida Citrus Exchange a sufficient 
account to warrant any one institution to extend the proper and 
necessary lines of credit the Florida Citrus Exchange at times needs, 
and 

Whereas, it has come to the notice of the Board of Directors of 
the Florida Citrus Exchange that this condition of affairs is operat- 
ing against the best interests of the Florida Citrus Exchange, now 
therefore be it 

Resolved that we, the Florida Citrus Exchange, do hereby desig- 
nate and appoint the Citizens Bank and Trust Company of Tampa, 
Florida, the official depository of this institution. 

Be it further resolved that the Business Manager be and is 
hereby instructed to deposit in said bank all funds received by the 
Florida Citrus Exchange and disburse same by check, and to keep 
in said bank all balances of this institution (it being understood that 
this resolution has nothing to do with such deposits as the Florida 
Citrus Exchange may now have or in the future create relating to 
certificates of deposit drawing interest). 

Be it further resolved that this resolution shall be binding 
upon the Florida Citrus Exchange as long as agreeable to both 

S3 



FIFTY YEARS OF CITRUS 



bank and Exchange and may be terminated upon notice each to 
the other of ninety days should either desire to discontinue, provid- 
ed, however that should such arrangement be terminated the Flor- 
ida Citrus Exchange will pay prior to such withdrawal any indebt- 
edness it may owe said bank. 

Be it further resolved that the Business Manager be requested 
to furnish the Citizens Bank and Trust Company with a certified 
copy of this resolution. 

This resolution was carried unanimously by the board, and thus 
created a revised banking policy that became immediately effective. 

In the minutes of the board meeting of December 19, 1917, can 
be found the complete list of newspapers on the advertising sche- 
dule of the Florida Citrus Exchange: 



Connecticut 



District of Columbia 

Maine 

Maryland 

Massachusetts 



New York 



Pennsylvania 



Rhode Island 
West Vhiginia 
Canada 
Colorado 
Illinois 



Bridgeport Post-Telegram, Hartford Cour- 
ant, Hartford Times, New Haven Journal- 
Courier, New Haven Register, New London 
Day, Norwich Record, Stamford Advocate, 
and Waterburg Republican 
Washington Star 
Portland Express 
Cumberland Times 

Christian Science Monitor, Boston Trans- 
cript, Fall River Herald, Lowell Telegram, 
New Bedford Standard and Mercury, 
Springfield Republican and News, Spring- 
field Union, and Worcester Gazette. 
Albany Times-Union, Jamestown Journal, 
Rochester Union and Advertiser, Schenec- 
tady Union Star, and Troy Times. 
Allantown Call, Chambersburg Repository, 
Harrisburg Telegraph, Lancaster Examin- 
er, Lebanon Report, Reading Eagle, Sham- 
okin News, Williamsport Sun, and York Dis- 
patch. 

Providence Journal and Bulletin 
Wheeling News 
Toronto Star 
Denver Post 
Bloomington Pantagraph, Danville Com- 



34 



1917-1918 

mercial News, Peoria Journal, and Spring- 
field State Register. 

Indiana Indianapolis News 

Michigan Detroit News, Detroit Times, and Grand 

Rapids Herald 

Minnesota Minneapolis Tribune 

Missouri Kansas City Star 

Nebraska Omaha News 

Ohio Columbus Dispatch, Columbus State Jour- 

nal, Dayton News, Springfield News, To- 
ledo Blade, and Zanesville Times-Recorder. 

Texas Dallas Journal, Dallas Times-Herald 

Wisconsin Milwaukee Evening Wisconsin 

These newspapers were scheduled to insert advertising in the 
amount of $18,861.23 during the remainder of the season from De- 
cember 19, 1917. 

With regard to advertising by the Florida Citrus Exchange at 
this time, General Sales Manager F. L. Skelly presented to the 
board on March 20, 1918, a long oration on the status of Exchange 
sales during the 1917-18 season. Skelly 's address seems to have so 
thoroughly covered both sales and advertising, and to have been so 
comprehensive in nature that the entire speech is carried verbatim. 

To the Board of Directors of the Florida Citrus Exchange: 

I believe this the proper time to present to you a partial review 
of our work for this season, and also to try to point out some of the 
lessons it has taught us. 

The sales department has had its troubles and has not been 
able to accomplish all of the things which we desired to; however, 
I am well satisfied with the record we have made this year. My 
satisfaction would be much greater if we could use what we have 
learned in making plans for the future that will produce even better 
results. 

It is not necessary to go into details regarding the things that 
have helped most and hindered most, as the board of directors have 
been well informed about same as they came up and were disposed 
of. In order to make this paper as brief as possible, we will only 
touch on matters which really are worthy of our mention. 

You all know a short crop is almost as much of a handicap to 
our work ,?.s it is an advantage. When fruit is scarce it is undoubt- 
edly easier to secure good prices provided the right kind of distri- 

35 



FIFTY YEARS OF CITRUS 

bution can be had. The question of getting this distribution is not 
to be lightly considered, as I have always contended and as we have 
had ample evidence this season. The quality of considerable of the 
fruit which it was necessary for us to market, the transportation 
tie-ups and extremely cold weather for two months have combined 
to keep us very busy. We also found that considerable fruit was 
more damaged by the cold than many of the growers thought. This 
fruit going in to the markets dry and unfit for consumption caused 
us considerable trouble and correspondence; however, we got al- 
most all of the complaints adjusted satisfactorily. The balance of 
them, as you know, we turned over to the auditing committee at 
yesterday's meeting. 

Taking everything into consideration I do not believe there can 
be any complaint regarding prices obtained for oranges that were 
handled properly by our associations in this state. We had some 
low sales on oranges, it is true, but these were either frozen oranges, 
fruit improperly handled at the packing house or transferred cars 
which no doubt caused much of the decay. 

Good grapefruit has sold at satisfactory prices this season. We 
had some grapefruit during the extremely cold weather that did not 
bring the prices we would like to have had; however, taking the 
sugar shortage, transportation and cold weather into consideration, 
I feel the results on grapefruit should be considered satisfactory, al- 
though grapefruit did not rule as high correspondingly as oranges. 
This may be traced to the extremely cold weather and, as stated 
above, the sugar shortage; also to the fact that there was a great 
deal more grapefruit in Florida than early estimates indicated and 
to the fact that grapefruit is not nearly as well known to the consum- 
ing public as oranges. 

Because most people are pretty well acquainted with oranges, 
our educational campaign on the food and health values of citrus 
fruits has been applied by the general public much more to oranges 
than grapefruit. Since the California Fruit Growers Exchange start- 
ed advertising to emphasize these same points, following our lead, 
they have been even more generally understood to be true only of 
oranges, as our California friends advertise nothing else. 

The result has been that the average housewife has come to 
look upon oranges as well worth using from the food and health 
standpoint. This year we were able to cash in on this feeling to an 
unusual extent because of the shortage of California fruit during 
our season. If we are to continue to profit by it, however, we must 
strongly advertise the superior merits of Florida oranges. Other- 
wise with a normal volume of California fruit and the extensive ad- 

36 



1917-1918 

vertising which the California Exchange does, the public will large- 
ly forget that there are Florida oranges in the market. 

A careful study of the situation convinces me that a great deal 
of the fruit we have sold has gone to the homes of laboring people 
who are now receiving high wages. On the other hand, the homes 
of people of means, in which oranges have heretofore been freely 
used, probably have not taken as many as in the past. In other 
words, I agree with Mr. Hoover that there is a great deal more food 
conservation practiced in the better class of homes than in those of 
the people whose buying capacity in the past has been limited. 

In almost every home in the United States, some oranges have 
been used in the past, at least on special occasions. The members 
of the family know something about the fruit and when you talk 
about oranges they can understand you. Consequently, the adver- 
tising of oranges as food and for health purposes which has been 
done both by the Florida Citrus Exchange and the California Fruit 
Growers Exchange was read by the people in receptive moods. 
Many of them felt in a way they were contributing to the conserva- 
tion of staple foods by using more oranges, just as we have been 
teaching. 

With grapefruit, conditions have been different. We must face 
the fact that comparatively few people really know what grapefruit 
are. Of course hundreds of thousands of persons are familiar with 
this fruit, but there are millions who are not. The great bulk of 
the past sales of grapefruit have been in families in fair circum- 
stances. They have been looked upon as a luxury, and when war 
economies began to be practiced, a great many people in good cir- 
cumstances dropped grapefruit for this reason. 

Because so few people really know how good grapefruit is, or 
that they have much the same food and health qualities as oranges, 
there was not the increased consumption of them in the homes of 
highly paid laborers that there might have been. We must not 
forget that grapefruit has been pushed only by the Florida Citrus 
Exchange previous to this season — when the Puerto Rican growers 
put on an advertising campaign for this fruit, whereas oranges have 
had the benefit of our publicity and also of the much more extensive 
campaigns of the California Exchange. 

The main features of our work this year, as I see them, are taking 
advantage of existing conditions to introduce Florida oranges into 
communities heretofore dominated by California fruits, the in- 
creased proportion of our shipments which have gone in private sale 
markets as compared with auctions, and the inauguration of the 
contract basis for orders with advance deposits required. 

87 



FIFTY YEARS OF CITRUS 

Frankly, in contending that the latter is the greatest advance 
step ever taken in the merchandising of citrus fruits, I am not ex- 
pressing my own opinion but giving the practically unanimous 
judgment of men familiar with selling problems who have informed 
themselves regarding this matter. I am hopeful that the benefits de- 
rived from this method of selling fruit will be so clear to our grow- 
ers that they will feel justified in letting us go much further in adop- 
ting the practice of modern selling methods. 

As already indicated, I believe that to hold the place we now 
have in the sale of oranges and to increase our volume of business 
to correspond with present prospects for next year's crop, we must 
push oranges even harder than we have been. By keeping before 
the public the superior merits of Florida oranges, we will be able 
to hold our own and greatly increase our sales in sections which 
have been almost exclusively California points. 

There is no doubt that oranges will be eaten more and more 
freely by the American people every year, and it is up to us as to 
how far this increased consumption will benefit Exchange growers. 
With oranges, we can protect and push the interests of our growers 
through the methods heretofore followed, if these are prosecuted 
with sufficient vigor. I am sure we will have to advertise seald 
sweet oranges more extensivley and cover the Northern territory 
with more men in order to get our share of the business. 

I have no radical innovations to suggest as to our methods of 
advertising or the way in which our men shall work. If we have 
the money and men, there is no doubt that we can keep up our end 
with California, even though she has greater resources and greater 
volume of trade. The fact that we have the better goods surely 
will help us a lot, if we grade, pack, etc., in the right way. 

As regards grapefruit, we have a different and more difficult 
problem. As I have tried to point out, the American public, as a 
whole, must be educated as to what grapefruit really are and we 
have to show the dealers that this fruit can be sold in large quan- 
tities if properly pushed. In a large section of the country our work 
must be opposed to that of the Puerto Rican growers who are ad- 
vertising freely and in many cases consigning their fruit. 

For our grapefruit campaign therefore, I would recommend and 
urge a more aggressive policy. If present crop prospects are real- 
ized there will probably be 4,000,000 boxes of grapefruit in Florida 
next fall. The chances are we shall be called upon to market at 
least 800,000 to 1,000,000 boxes. Unless we take some positive 
steps to further popularize grapefruit and standardize prices for 
it, I am afraid many growers will be disappointed in their returns. 

38 



1917-1918 

And if next year's crop is four million boxes, barring freezes and 
disasters of like nature, it is not likely to be many years until we are 
confronted with perhaps a crop two or three times as large. 

It seems to me that we have to get right down to brass tacks and 
put on a real campaign for grapefruit, just the kind of campaign 
that the manufacturers of a new substitute for lard or something of 
that kind would certainly undertake. I believe that we have got 
to introduce grapefruit in the nine out of ten homes where it is 
now scarcely known. To do this we must advertise liberally to the 
housewife, and put vigorous merchandising methods in our work 
with the trade. I have pretty well defined plans in my mind as to 
just how this shall be done, but I do not want to worry you with the 
details at the present time. If you will endorse the general policy, 
take such steps as will insure the necessary money, and authorize 
the sales and advertising departments to work out these plans fully 
during the next few weeks, I am sure that when finally presented to 
you they will meet your hearty approval. 

To make the thing very concrete for your consideration, I am 
going to ask you right now to begin to plan for $100,000 with which 
to push next year's grapefruit crop, if our part of it is a million boxes. 
It may seem to some of you that I am talking in big figures, but I 
think I know what we have to face and what we need to make our 
fight with. 

I don't mean to recommend that this entire amount be spent for 
advertising — after going into the matter very thoroughly with our 
advertising agency, I believe the plans we would mutually agree 
upon would probably put not more than half of the amount into 
newspaper space. 

If we undertake the job of selling a million boxes out of four 
million boxes of grapefruit produced in Florida without the adver- 
tising and merchandising I am asking you to authorize, the average 
price per box will, in my judgment, be from twenty-five to fifty cents 
lower than can be obtained if we put on the proposed campaign. 
If we do not get busy and open up new avenues of consumption for 
grapefruit, while the buying capacity of the people of the United 
States is at a high level, with thousands and thousands of acres of 
groves that are coming into bearing this fruit, in a few years will 
not pay the grower anything for his time, labor, and investment. 

Is it not worth while to spend at least ten cents a box to increase 
next year's returns by two to five times this sum and build up such 
a demand for grapefruit as will afford an avenue through which can 
be profitably sold the production of the State even when this has 
become many times as large as it will be this year? 

39 



FIFTY YEARS OF CITRUS 

In my opinion no time should be lost in getting busy on some 
such lines as I have tried to suggest in this paper. We cannot afford 
to delay in engaging men. The extraordinary conditions now pre- 
vailing make them scarce and hard to get. 

Some of our best district managers already have been approach- 
ed with liberal propositions to take other positions. If we are to 
maintain our sales force, in this office and in the North, if we are to 
expand it and make it more efficient, we must face conditions as 
they exist and meet them as other enterprises are doing. 

Should it be decided to put on an aggressive educational and 
sales campaign for grapefruit, the success of this will to a very large 
degree depend upon starting early and working out our plans care- 
fully and with due consideration of all factors in the situation. 

You have had experience with the amount of time required to 
get up good advertising matter, and under existing conditions it 
will take longer than ever before. Money can be saved and the 
work of every man we employ made more effective if we start early 
and take advantage of all the ins and outs of the merchandising and 
publicity end of our endeavor. 

I am confident that the further we go in this direction the easier 
it will be to get more fruit into the Exchange and to hold our old 
growers. 

I trust you will see your way clear to give us authority to go 
ahead and work out plans that we may obtain results the coming 
season that will be satisfactory to our growers and yourselves. 

Although Skelly's suggestions were not immediately accepted, it 
will be seen in later chapters that his ideas penetrated into the 
thinking of the organization and became eventually quite useful. 



40 



CHAPTER 7 



1918*1921 



AS COULD be expected, the continuing im- 
portance and evident success of the Florida Citrus Exchange pre- 
sented inherent problems to the organization. One such problem 
was the tendency of the other sales agencies to imitate closely or 
copy the seald sweet trade name. Another problem was the pro- 
tection of the reputation of the Exchange for quality. In order to 
lay down policy within the Exchange organization in this matter, 
President J. H. Ross made the following observation on April 17, 
1918: 

The resolution asking how we may safeguard and protect the 
reputation of our trade name seald sweet is timely. The word 
was selected for the impartial benefit of all growers affiliated with 
the Florida Citrus Exchange. Its ownership is vested in the Florida 
Citrus Exchange which consists of the directors chosen by the sub- 
exchanges. The Florida Citrus Exchange is a marketing agency. 

In performing the function for which it exists it must do all the 
things necessary to the highest efficiency in selling the products of 
the affiliated growers. 

Among the things inseparable from selling in the most efficient 
manner are maintaining a marketing force here and throughout the 
country involving maintaining offices, clerks, stenographers, book- 
keepers, inspectors, draying facilities, diverting points and agents, 
advertising, etc. 

The motion calling for this report touches the matter of adver- 
tising and efficient selling directly. Since the Exchange had adopted 

41 



FIFTY YEARS OF CITRUS 

the policy of advertising, it became logically necessary in order that 
the advertising should benefit particularly the affiliated growers 
that a trade name be adopted to designate their fruit in the markets 
to distinguish it from fruit not affiliated with the Exchange. 

So the trade name seald sweet was adopted. In the effort to 
popularize seald sweet fruit we have paid thousands of dollars in 
describing the kind of quality of fruit we profess to offer the public 
under the seald sweet designation. All this was wise, businesslike 
and along the lines of scientific marketing. 

It would seem from all this that the Florida Citrus Exchange, 
owning this trade name, using it for purposes of description of fruit 
offered for sale, guaranteeing the quality under this name in all our 
advertising, must logically, inevitably, and undoubtedly have the 
authority to say what quality of fruit may be shipped and offered 
for sale as seald sweet. 

We assume that it has this authority, as it owns the name and is 
charged with the duty of marketing the fruit of its affiliated associa- 
tions to the best advantage and as to the details of how this may 
best be done, it is and must be the sole judge. 

No grower, no association, not even a sub-exchange can dictate 
these details of selling methods or the methods themselves. 

When they are dissatisfied they may be heard through their rep- 
resentatives in the Exchange, and if the Exchange cannot satisfy the 
complaining of dissatisfied grower, association or sub-exchange, 
such grower, association or sub-exchange has the right to withdraw 
his or its affiliation with the Exchange. 

One grove, one portion of a county, or a whole county or a 
larger region may suffer seasonable damage by a hot wave or a cold 
wave which results in greatly inferior fruit, fruit far below the high 
standard fixed by advertising as seald sweet fruit. 

In such circumstances, indicated by general knowledge of tem- 
peratures or other adverse influences, the Florida Citrus Exchange 
must repose authority in its officers to employ inspectors to report 
upon such fruit suspected of being deteriorated or maybe damaged, 
and if such a report by inspectors be adverse, verified by other in- 
spectors if the grower or owner of the fruit so desires, the Florida 
Citrus Exchange may and should decline to permit such damaged 
or deteriorated fruit to carry the trade name seald sweet. 

On June 6, 1918, the board met in its regular annual meeting and 
the credentials of board members were accepted. The board in- 
cluded Dr. J. II. Ross of Polk County, L. M. Hammel from DeSoto 
County Citrus Sub-Exchange, G. M. Wakelin of Highland Citrus 



1918-1921 

Sub-Exchange, D. C. Gillett of Hillsborough County Citrus Sub- 
Exchange, H. G. Putnam from Indian River Citrus Sub-Exchange, 
D. S. Borland of Lee Citrus Sub-Exchange, J. W. Ponder of Man- 
atee County Citrus Sub-Exchange, J. E. Klock of Marion County 
Citrus Sub-Exchange, P. C. Peters of Orange County Citrus Sub- 
Exchange, and A. G. Hamlin of Volusia County Citrus Sub-Exchange. 

With regard to the election of P. C. Peters to the board of dir- 
ectors, it is interesting to note that as of February, 1960, Peters was 
serving as the president of the board of the Florida Citrus Ex- 
change. The intervening years between his election to the board 
in 1918 and the present have provided him an unchallenged position 
at the head of the Exchange and as an industry leader. 

The board was reorganized with the re-election of Dr. Ross as 
president, D. C. Gillett as first vice-president, L. M. Hammel as 
second vice-president, C. E. Stewart, Jr. as secretary and business 
manager, Judge William Hunter as attorney, and F. L. Skelly as 
general sales manager. E. D. Dow was elected as traffic manager 
and W. T. Covode as cashier. 

The Tampa payroll on July 17, 1918, included, in addition to the 
salaried officers listed above, Jennie Smith, C. N. Williams, Edna N. 
Morrill, Mrs. H. E. Kerr, Frank Smith, Blanch Dossel, Grace De 
Wolf, Julia Grace, B. C. Frazer, H. F. Phillips, Mrs. Almira Midg- 
ley, H. C. Allan, W. D. Painter, J. Reed Curry, A. E. Barnes, J. B. 
Rust, C. A. Price, H. E. Wescott, W. L. Harper, Louise C. Flisch, 
and Y. BriddeU. 

While the optimistic beginning of the 1917-18 season had given 
way to much concern over the future of the Exchange because of 
the war and disastrous weather, the rapid comeback of the organ- 
ization is apparent in an item from the July 17, 1918, meeting of the 
board. The salary committee of the board in an unprecedented 
move at that time recommended an increase of 10 per cent in the 
salary of every employee of the Florida Citrus Exchange on the 
Tampa office payroll. About two months later, on September 18, 
1918, the board, faced with a serious shortage of pickers because of 
the war effort, voted to contact the proper authorities for soldier 
help in harvesting the coming crop. The appeal to Washington 
was not, as it turned out, to be pursued to its ultimate objective 
because of the rapid progress of the war. With the signing of the 
Armistice on November 11, 1918, the Florida citrus industry began 
the difficult conversion from war to peace. 

43 



FIFTY YEARS OF CITRUS 

One of the first conversion problems to be encountered was in 
the matter of transportation. The board deadlocked in the consid- 
eration of a resolution proposed by D. S. Borland which would urge 
the government to return all transportation lines to their owners at 
the earliest possible moment. The deadlock was eventually broken 
by Dr. Ross in favor of the resolution, and each member of Flor- 
ida's congressional delegation was presented with a copy of the 
Exchange's policy regarding continued government control of trans- 
portation. The congressional delegation receiving copies of the 
Exchange resolution were Senators Duncan U. Fletcher and Park 
Trammell, and Representatives Herbert Drane, William Sears, 
Frank Clark, and Walter Kehoe. 

A report of movement of fruit by the Exchange in the 1917-18 
season up to December 15, 1918, is recorded in the minutes of the 
December 18, 1918, meeting of the board. The movement of citrus 
by the Exchange was 599,000 boxes, which compared rather favor- 
ably with the preceding season, during which the Exchange had 
moved only 252,059 boxes in the corresponding time. 

During this period, an address by General Sales Manager F. L. 
Skelly seems to be indicative of the success of the Exchange's en- 
tire operation: 

You may have noticed that we continue to sell grapefruit and 
oranges for considerably more money than the prices offered by 
outside operators. It is to be assumed that the bulk of fruit in the 
hands of the "fly-by-night" speculators at the beginning of the sea- 
son has been moved or will shortly go out. The better-established 
competitors of the Exchange seem to feel that they are doing well 
to obtain within fifty cents to a dollar a box of our prices. That this 
is true shows just how well it pays to market cooperatively fruit 
carefully packed and well advertised. 

It is gratifying to be able to say that our distribution of seald 
sweet fruit up to now has been the widest in the history of the Ex- 
change. In consequence of being able to get a greater volume of 
fruit into outside markets it has been possible to keep our shipments 
into the auction markets down; and we have put very little fruit 
into the various auction markets. Inasmuch as our circularizing 
and trade advertising is just under full headway, it seems reasonable 
to expect continued good results from this work. 

Minutes of the several board meetings in the final months of 
1918 indicate the board was actively engaged on several different 

44 



1918-1921 

projects including plans for legislative action to help in the fight 
against citrus canker, the solid formation of the Growers Loan and 
Guaranty Company for financial assistance to growers and shippers, 
and a move to require the Thomas Advertising Service, the Ex- 
change's agency, to create a branch office in Tampa to handle the 
Exchange's business. 

One project of the Exchange at this time was the precooling of 
citrus before shipping it to market. Various house experiments in 
1917 and 1918 had already proved successful in the matter of ex- 
tending the shelf life of fresh citrus. In March, 1919, S. J. Dennis 
and A. W. McKay, both of the Bureau of Markets, United States 
Department of Agriculture, addressed the board concerning the ad- 
vantages of precoohng. The reception of the address is indicated 
in the minutes of March 19, 1919, board meeting which reveal that 
". . . the directors and sub-exchange managers showed a keen in- 
terest in what Mr. Dennis had to say and asked many questions, 
and the discussion was prolonged for some time." 

The board for the 1919-20 season, which was seated on June 3, 
1919, was composed of the following representatives of citrus sub- 
exchanges: J. H. Ross of Polk County, C. E. McCormick of the 
DeSoto County Citrus Sub-Exchange, A. G. Hamlin of the Volusia 
County Citrus Sub-Exchange, P. C. Peters of the Orange County 
Citrus Sub-Exchange, Edward Parkinson of the Lee County Citrus 
Sub-Exchange, H. G. Putnam of the Indian River Citrus Sub-Ex- 
change, J. E. Klock of the Marion County Citrus Sub-Exchange, J. 
W. Ponder of the Manatee County Citrus Sub-Exchange, G. M. 
Wakelin of the Highland Citrus Sub-Exchange, and D. C. Gillett 
of the Hillsborough County Citrus Sub-Exchange. Officers and 
key executives for the coming season were also elected during this 
meeting. Dr. J. H. Ross was re-elected to the presidency, J. W. 
Ponder was elected as first vice-president, and D. C. Gillett was 
elected as second vice-president. C. E. Stewart, Jr. was renamed 
secretary and business manager of the Exchange, W. T. Covode was 
renamed as the Exchange cashier, E. D. Dow was reappointed as 
traffic manager, and William Hunter was reappointed as attorney 
for the Exchange. 

F. L. Skelly, who had held the position of general sales man- 
ager for several years, was replaced by George A. Scott, the Ex- 
change's Eastern division manager prior to his appointment as gen- 
eral sales manager. While neither the regular minutes nor the ex- 

45 



FIFTY YEARS OF CITRUS 

ecutive session minutes of the period reflect the reasons for Skelly's 
release as sales manager, citrus veterans who remember the era 
are agreed that Skelly asked that he be allowed to resign from his 
position in order to take a similar position with another organiza- 
tion. The board action on June 3, 1919, concluded his association 
with the Exchange. 

On July 16, 1919, the board approved the advertising budget for 
the 1919-20 season as presented by the Thomas Advertising Service. 
The total budget was, of course, allocated to written media and 
amounted to $97,000 for the year. Nearly a third of that amount 
was allotted to magazines, including the Literary Digest, Saturday 
Evening Post, Delineator, Good Housekeeping, Ladies' Home Jour- 
nal, Pictorial Review, Todays Housewife, and Woman's Home 
Companion. The balance of the advertising budget was earmarked 
for newspapers, special promotions, circulars, point-of-sale pieces, 
and advertising production costs. 

On November 19, 1919, the board heard a recommendation 
from both the Sub-Exchange Managers Association and the Ex- 
change Supply Company that the Florida Citrus Exchange establish 
its own laboratory for the purpose of conducting tests of fruit ship- 
ped under the seald sweet brand name. The board indicated its 
agreement and named J. W. Ponder, Dr. J. E. Klock, H. G. Putnam, 
Edward Parkinson, and S. C. Warner as a committee to investigate 
and pursue the matter of establishing a laboratory. 

Just before the close of the year on December 17, the board 
again heard an offer involving the relocation of Exchange headquar- 
ters. P. C. Peters told the board at its December 17 meeting that 
the city of Orlando had offered to give the Exchange a lot of suit- 
able size for the construction of an office building in Orlando if 
the board decided to move its general offices from Tampa to Or- 
lando. As the minutes note: 

. . . The above motion brought before the board the matter of 
the advisability of moving the Exchange headquarters and erecting 
a building that would house the Florida Citrus Exchange, the Ex- 
change Supply Company, and the Growers Loan and Guaranty 
Company, and, upon motion seconded and duly carried the presi- 
dent was instructed to appoint a committee of five, from the board 
of directors, to investigate the advisability of moving the Exchange 
headquarters, and also the advisability of erecting a building. 



46 



1918-1921 

The committee included H. G. Putnam, P. C. Peters, J. W. Pon- 
der, D. C. Gillett, and Edward Parkinson. There is no indication 
that the matter was given much more than token consideration at 
this time. 

It is interesting to note that the Prohibition amendment to the 
United States Constitution had been ratified at this time and was 
scheduled to go into effect on January 16, 1920. The Florida Citrus 
Exchange could see increased emphasis on fruit drinks in prospect 
as the nation began its switchover from alcoholic to nonalcoholic 
beverages. Business Manager C. E. Stewart, Jr., made reference to 
Prohibition in the text of a long report to the board submitted on 
December 17, 1919. The reference reads: 

Prohibition has caused an enormous interest in fruit drinks, and 
particularly those made of citrus fruits, and this fact alone bids fair 
to greatly increased demand; and the outlook, from all information 
that we could gather prior to shipping, indicates good prices. 

Soon after the beginning of the year 1920, the Florida Citrus 
Exchange became interested in a school program designed to reach 
the coming generation of housewives with the virtues of including 
citrus in their menu planning. On March 3, 1920, the business man- 
ager brought before the board of directors the matter of the suc- 
cessful demonstration under the direction of Mrs. Caroline Moor- 
head in Tampa at the South Florida State Fair from February 16 
to February 21 (1920) and requested from the board the privilege 
of making some experiments to prove the value of demonstrating 
the use of citrus fruits, particularly grapefruit, to the home econom- 
ics classes in some of the Southern colleges. The board approved 
this plan and the business manager was instructed to proceed with 
such plans as he thought proper in carrying out such a program. 

Thus the Florida Citrus Exchange entered the fabulous 1920's. 
In retrospect, the first eleven years of the Exchange had provided 
a foundation and scores of policy precedents that were to prove par- 
ticularly beneficial during the ensuing ten-year period. All of this 
was in the future and known by no mortal man on June 1, 1920, 
when the 1920-21 board presented its credentials and was seated. 
The new board consisted of Dr. J. H. Ross of Polk County Citrus 
Sub-Exchange, J. W. Ponder of Manatee County Citrus Sub-Ex- 
change, D. C. Gillett of Hillsborough County Citrus Sub-Exchange, 
H. G. Putnam of Indian River Citrus Sub-Exchange, A. G. Hamlin 

47 



FIFTY YEARS OF CITRUS 

of Volusia County Citrus Sub-Exchange, P. C. Peters of Orange 
County Citrus Sub-Exchange, W. W. Raymond of Lee County Cit- 
rus Sub-Exchange, and C. E. McCormick of DeSoto County Citrus 
Sub-Exchange. 

Re-elected to the presidency was Dr. J. H. Ross. D. C. Gillett 
was elected as first vice-president, J. W. Ponder was chosen as sec- 
ond vice-president, C. E. Stewart, Jr., was renamed as secretary and 
business manager, W. T. Covode was renamed as cashier, and Wil- 
liam Hunter was reappointed as attorney for the Exchange. 



48 



CHAPTER 8 



1921*1922 



THE PERIOD from August, 1921, until Au- 
gust, 1922, was an active and extremely productive time for the 
Florida Citrus Exchange. Members of the board during this per- 
iod were Dr. J. H. Ross of Polk County Citrus Sub-Exchange, A. G. 
Hamlin of Volusia County Citrus Sub-Exchange, J. W. Ponder of 
Manatee County Citrus Sub-Exchange, P. C. Peters of Orange 
County Citrus Sub-Exchange, D. E. Gillett of Hillsborough County 
Citrus Sub-Exchange, Dr. Y. E. Wright of DeSoto County Citrus 
Sub-Exchange, T. L. Hausman of Indian River Citrus Sub-Ex- 
change, C. J. Stubbs of Lee County Citrus Sub-Exchange, Walter 
R. Lee of Marion County Citrus Sub-Exchange, and F. C. W. Kra- 
mer of the Highland Citrus Sub-Exchange. All staff officers re- 
mained unchanged at the beginning of the 1921-22 season. 

The events and progress of the Exchange as contained in this 
chapter with regard to the 1921-22 season are taken from one of 
the few early, complete annual reports of the business manager. 
They have, of course, been documented by constant reference to 
the official minutes of this period, but the report covering this per- 
iod is quoted in the words of Business Manager C. E. Stewart, Jr.: 

Practically all farm products, during the past year, sold at un- 
satisfactory prices. The readjustment of general business created a 
condition which affected the sale of these products. Citrus fruit 
from Florida, however, was an exception. The first part of the sea- 
son, it sold at satisfactory prices with every indication pointing to a 
reasonably good season, because although the country was being 

49 



FIFTY YEARS OF CITRUS 

threatened with strikes, business was undergoing drastic liquida- 
tion and the process of reconstruction was in full swing, it was soon 
realized that the methods of this organization were being felt in 
the markets more than ever before. This was because our methods 
under our new sales manager were being changed gradually during 
the two years previous, and a more aggressive policy used in our 
selling. 

The development of new markets last season was the greatest of 
any year in the history of the Exchange. The Exchange was the 
greatest factor in the markets, last year; it soon got control of the 
situation and worked to stabilize prices. Our wide distribution 
tended to diminish slumps. On January 19, 1922, a freeze in Cal- 
ifornia practically stopped shipments from that state and so dam- 
aged that crop that they were not a material factor for the remainder 
of the season. 

This condition was reflected immediately in prices realized on 
Florida citrus. The Exchange at this time had the greater portion 
of its holdings to move and members were able to realize much 
greater returns for their crop. 

In a year when business was in the condition above mentioned 
the advantages of cooperative marketing, making for orderly distri- 
bution, were apparent. Undoubtedly the greatest factor in stabiliz- 
ing the market before the California disaster, and the greatest fac- 
tor in getting the high dollar after the California freeze, was the 
Exchange. 

The Florida crop amounted to 33,023 cars, made up of 14,930 
cars of oranges, 18,093 cars of grapefruit. The Florida Citrus Ex- 
change handled 10,572 cars, or 32 per cent or one-fourth of 1 per 
cent less than the percentage controlled last year; this loss was 
occasioned, principally, by the storm of October 25, 1921, and the 
losses to growers were heaviest in those sections where we had made 
our best gains. Further, the storm affected grapefruit to a consid- 
erable extent in Polk County, causing losses which continued 
throughout the year. 

Prior to this storm all sub-exchanges had reported very material 
gains, and we have reason to believe that these estimates were ac- 
curate. However, the final results show gains only in Dade, De 
Soto, Indian River, Lee, and Volusia, amounting to 367,053 boxes, 
and losses in Highland, Hillsborough, Manatee, Marion, Orange, 
Pinellas, and Polk, amounting to 466,952 boxes. Two main con- 
ditions affected the percentage of our crop. 

First, a change of managers in the Highland Citrus Sub-Ex- 
change and Marion County Citrus Sub-Exchange probably was the 

50 



1921-1922 

cause of a loss there of 190,930 boxes. Second, although Orange 
County reported a considerable gain in membership, they were 
confronted with a short crop of oranges in the very territory where 
they had made their gains. 

Organization Department 

Mr. J. Reed Curry is chief organizer, having held that position 
with the Exchange for seven years. 

The many duties embraced in the work of the Organization De- 
partment appear to the observer only after he has become thorough- 
ly familiar with the comprehensive plans and extensive efforts be- 
ing made, through this department, to accomplish more complete 
cooperation among the growers of Florida. 

Its operations are not only necessary in the progress of our busi- 
ness, but are, in reality, fundamental; and to a large degree the suc- 
cess of the Florida Citrus Exchange is dependent upon the initial 
work done by this department through the main office and the vari- 
ous sub-exchanges and associations. Additional volume of fruit and 
new members must be obtained each year throughout the state in 
order that the Florida Citrus Exchange may grow larger and in- 
crease its control of fruit production of the state. In accomplishing 
this, the growers must be visited and their affiliation obtained. 

While it is true that much has been written and published re- 
garding the methods and purposes of the Florida Citrus Exchange, 
and it would therefore seem reasonable that by this time all grow- 
ers of the state would fully understand and appreciate the value and 
need of it, yet it is a fact that a very large percentage of the grow- 
ers, both in the organization and out of it, have not yet comprehend- 
ed the system of cooperative marketing in all its important details. 

Therefore, one of the main objectives of the Organization De- 
partment is to meet such growers individually and collectively, and, 
by patient and exhaustive effort, explain what the Florida Citrus 
Exchange is, why it exists, how it is formed, how it is operated, 
methods necessary to increase demand and build up markets, show 
the needs of grove records and the production of high grades of 
fruit, and all other things which affect the welfare of the business. 

It is readily seen that much of the work of this department is 
educational, and in order to get best results close attention must 
be given to the differences in personality of the growers, their pe- 
culiarities, environments, and past experiences. In approaching 
them upon the subject of cooperative marketing, it is necessary that 
this department should have a complete knowledge of their prob- 
lems, and be actuated by an honest desire to assist in solving them. 

51 



FIFTY YEARS OF CITRUS 

In visiting hundreds and hundreds of growers during the past 
year, we have found it advisable to spend hours with many of them 
in order to clear their minds of misunderstanding or prejudice, and 
convince them that their interests are dependent upon our success, 
and that their cooperation would be of advantage to themselves and 
to us. 

One of the functions of this department is to get together the 
growers of new communities, organize them into associations, assist 
them in plans for financing and building new packing houses, and 
visit them at regular intervals thereafter, to help them to operate 
successfully. 

Your organizer attends as many associational meetings as pos- 
sible, to address the members upon subjects of interest and inform 
them regarding new methods, and also keep them advised regarding 
progress of other associations and the general work throughout the 
state. During the past year he has attended 73 meetings of mem- 
bers and directors of associations and sub-exchanges. 

Sometimes it becomes necessary to adjust differences which have 
arisen among the members of associations, and this particular duty 
calls for the most diplomatic and careful efforts, since to take sides 
with one faction will invariably antagonize the other. 

The effort therefore must always be to appeal to the loyalty of 
the members as a whole, and if possible effect a compromise of the 
difficulties. 

During the past year it has seemed that the competitors of this 
organization have been unusually active in spreading reports and 
statements that were false and misleading. To offset and correct 
such propaganda the organization department has been compelled 
to follow up and trace down reports. It has always found them 
to be started by speculators, whose motives were to discredit the 
Florida Citrus Exchange. 

New associations have been organized during the past year in 
such localities as needed them, and there are already prospects for 
several additional packing houses for next season. 

In connection with the organization work of this department 
your organizer has travelled, during the year, approximately 28,000 
miles, and has visited every important citrus section of the state. 

Because a large percentage of growers are non-residents, it has 
been necessary, at times, for visits to be made to Northern states to 
secure their cooperation. 

Such recommendations as might be made by this department 
would include more active efforts to reach the non-resident growers, 
and to acquaint them more fully with the work of this organization. 

52 



1921-1922 

Taking the state as a whole, your Organization Department feels 
much gratified over the present interest and enthusiastic coopera- 
tion of the entire membership, and considers the conditions at this 
time to be more favorable than ever before. 

Traffic Department 

The Traffic Department is under the direct management of Mr. 
E. D. Dow, who has held this position for 10 years. Mr. Dow has 
been in the employ of the Florida Citrus Exchange for 13 years and, 
by a few months, has the longest record of any employee. 

During the shipping season of 1921-22, there was a noticeable 
improvement in the service rendered by the carriers throughout the 
country, in that shipments were handled more expeditiously. An 
adequate car supply was available throughout the season, and a 
noticeable spirit of cooperation displayed, all of which tended to 
reduce somewhat the amount of claims. However, we filed dur- 
ing the past season claims amounting to $71,419.87, of which $33,- 
602.37 has been collected to date. Within the past year we have col- 
lected on outstanding claims a total of 4,369, amounting to $93,790.63. 

Advertising Department 

Exchange advertising is handled by a committe of the board of 
directors, and has been placed through the Thomas Advertising 
Service, Jacksonville, Florida, from the beginning. 

An outstanding feature of the Florida Citrus Exchange advertis- 
ing during the year was the degree to which it was made to cover a 
larger portion of the country than in any preceding season. 

seald sweet advertising appeared in more than 25,000,000 copies 
of nine of the leading home magazines of the United States — full 
color pages were printed in over 6,000,000 copies. 

Eight of the leading and most influential medical and nursing 
journals of the country carried seald sweet messages in about half 
a million copies. In addition, there was the usual space in fruit 
trade and other similar periodicals. 

Between November and March, seald sweet advertisements 
were inserted in approximately 60,000,000 copies of 245 leading daily 
newspapers. Dealers advertising, paid for by themselves, supple- 
mented the Exchange campaign in a considerable number of these 
papers. 

Requests for our recipe booklet, due principally to the magazine 
and newspaper advertising, have been much more numerous than 
previously. The second edition of 100,000 copies was exhausted be- 
fore the end of the season, though the first edition of the same size 
lasted nearly two years. 

53 



FIFTY YEARS OF CITRUS 

Cooperation Secured 

The cooperation of most of the factors concerned in making our 
advertising a success was notably good this year. 

To a greater extent than ever before, our sales representatives 
in the North took advantage of the campaign in an efficient and per- 
sistent way. 

Fruit dealers, too, gave increased assistance, including, as noted 
above, the purchase of a large volume of space at their own expense. 

Some magazines sent out handsome circular matter to the fruit 
trade, calling attention to Exchange copy. 

Other periodicals had salaried representatives call on leading 
wholesale houses and explain the extent of our campaign, urging 
them to handle seald sweet. 

Perhaps of even greater value, however, has been the cooperation 
given by the magazines through their editorial departments, in 
featuring special articles devoted to citrus fruit, especially grape- 
fruit. 

The service rendered by newspapers in helping to make our work 
effective was on a broader scale than in preceding years. The pub- 
lishers of the dailies in scores of cities assisted in getting both whole- 
sale and retail dealers to place seald sweet grapefruit and oranges 
for sale. 

Many of the papers went further, inducing the dealers to pay 
for advertising of seald sweet fruits themselves, in addition to our 
own. Almost without exception, the newspapers on our list gave 
material aid in the distribution of our store cards and other illus- 
trated advertising matter. It is safe to say that if the work done for 
us by the service departments of the newspapers had been paid for, 
it would have cost the Exchange anywhere from $50,000 to $100,000. 

The fact that it has been possible, in the past year or two, to 
extend the scope of our magazine and trade journal advertising, un- 
questionably has made it easier for the sales department to open 
new markets for seald sweet grapefruit and oranges, and to increase 
the number of dealers pushing our brands of fruit. Practically the 
entire trade desires newspaper advertising in addition, however, 
and the difficulties of holding our territory have been multiplied 
wherever the Exchange was unable to advertise in the newspaper. 

It is significant that this year we failed to make sales of seald 
sweet fruit in less than a half dozen cities and towns in which 
newspaper advertising was carried during the 1921-22 season. A 
much larger number of the places which bought in carload lots last 
year, but in which we were able to do no advertising either last 
season or this, failed to buy our fruit during the current year. In 

54 



1921-1922 

making plans for next season's advertising, it is our intention to pro- 
vide campaigns in the largest possible number of the new markets 
opened this season. 

Results Obtained 

In response to questions asked them about the close of the ship- 
ping season, 61 out of the 72 Exchange district and division man- 
ager workers stated that the advertising had helped them to sell more 
seald sweet grapefruit and oranges than they could have sold 
without it. 

At the same time, 1,256 out of 1,463 representative fruit dealers, 
wholesale and retail, in 121 cities, testified that they found Exchange 
advertising helpful in increasing demand for seald sweet fruits. 
Twelve hundred and thirty-two of these dealers said they could have 
done an even larger business in seald sweet brands if there had 
been more advertising. 

The great expansion in consumer demand of Florida grapefruit, 
undoubtedly due to Exchange advertising, is worthy of special 
stress. When the first aggressive campaign for grapefruit was un- 
dertaken by us, our advertising agency made a survey, on which was 
based the estimate that not more than 5 per cent of the people of 
the United States ate grapefruit in any quantities. A similar sur- 
vey, made during the present year, indicates it is reasonably safe 
to conclude that now 15 per cent of our population eat grapefruit 
at more or less regular intervals. 

In an article published by the American Magazine for Septem- 
ber, 1922, descriptive of the experiences of a woman who runs res- 
taurants in Chicago feeding 4,000,000 people a year, the author 
quotes this lady, Miss Mary L. Dutton, as saying, "The year round, 
grapefruit is the leader among uncooked fruits. We serve it three 
times a day." 

Several national advertisers of food products, including H. O. 
the breakfast food, have featured grapefruit in the recipes they 
publish in magazines. There have been constantly increasing calls 
for our literature from domestic science schools and similar institu- 
tions, and our workers in this field have been warmly welcomed. 

Coloring Fruit 

There has been a difference of opinion among growers regard- 
ing the advisability of the practice of coloring fruit. Most growers 
have misunderstood this operation and feel that the seald sweet 
trademark is liable to suffer by this practice. With this in mind your 
manager wishes to make this explanation. 

55 



FIFTY YEARS OF CITRUS 

Some two years ago we were informed by the United States 
Government investigators that they had learned that the gas exhaust 
from a gasoline engine would color fruit. That is, this gas tended 
to remove green color from the rind and the yellow color was left. 
When immature fruit was subjected to this process, a very pale lem- 
on color was the result; but on fruit testing above the government re- 
quirements for immaturity, a color was obtained like that on the 
tree. 

Government inspectors had not progressed far enough, in their 
opinion, to warrant them in advising as to installation of coloring 
plants in various packing houses, but during the latter part of last 
season we were able to secure a man who had much experience in 
coloring fruit in California. Although his system was slightly differ- 
ent from that employed by the government inspectors, his creden- 
tials were such that we employed him, and last year shipped a con- 
siderable amount of fruit, principally Valencias, that were artificially 
colored. 

At the same time the government had a man in the state, working 
along the same lines as we were working, and by the end of the 
season we felt that we were ready to go ahead and install rooms 
in various packing houses. This coloring is progressing satisfactor- 
ily, and we are firmly of the opinion that it will prove profitable to 
the growers. As the system is perfected from time to time, it will 
no doubt come into general use throughout the State. 

Coloring fruit will operate, we believe, to minimize the ship- 
ment of immature fruit, because it will be but a short time until the 
trade will accept only full-colored fruit from all Florida shippers. 
Although the government is keenly interested in developing this 
process, it will not permit shipments that have been artificially color- 
ed, unless the fruit passes the legal test for maturity, commonly 
known as 7 to 1 for grapefruit, and 8 to 1 for oranges. The bureau 
of chemistry has sufficient power, under federal laws, to confiscate 
any shipment if the fruit is artificially colored and immature. 

This will probably operate to make the shipment of green fruit, 
uncolored, unprofitable, and make an illegal shipment subject to 
seizure anywhere in the United States. 

Canned Grapefruit 

Canning of grapefruit is still in the experimental stage. How- 
ever, we have to report some progress. After this office had sugges- 
ted a plan whereby a purely cooperative association might be or- 
ganized for the canning of grapefruit, six associations in Polk County 
became keenly interested, forming a cooperative canning associa- 

56 



1921-1922 

tion. Under the proposed operation of this association, the grower 
will receive all the money that his fruit brings in the market, less 
the cost of canning. As the association will operate at cost under 
exactly the same plans as an association packing house, the grower 
is assured of no intervening profit between himself and the whole- 
saler. If this venture is successful, the grower will be in exactly 
the same position as he is today with his shipments of fruit through 
the packing house. 

Sales will be made through the sales department of the Ex- 
change, and the association will operate under a season pool, begin- 
ning about December 1. They have arranged to purchase adequate 
machinery, and propose to put out a high grade product under a 
brand that will be controlled by the Florida Citrus Exchange, in 
exactly the same way as seald sweet. Reports will be made during 
the season regarding progress. 

Precooling 

Mr. J. W. Andrews, a former government employee, has com- 
piled all records, and has been instrumental in working out all 
problems in this work. He has held this position for two years. 
Credit must also be given to the splendid cooperation of the associa- 
tion managers and their assistants. Also, we wish to acknowledge 
the enthusiastic assistance, and expert advice, of Paul Mandeville, 
of the Davenport Sales Company, and Mr. George Braungart, of 
the Southern Construction Company. The untiring efforts of these 
gentlemen, in working out the problems of our first coolers, brought 
about the speedy results in efficiency obtained. 

Precooling has received considerable attention during the past 
year. Three new plants have been erected, making a total of seven 
plants at Exchange houses. Refrigeration research work has been 
continued and this work, with comparative data, is proving valuable 
to member associations. 

One extremely important advancement in precooler design and 
operation was accomplished in the 15-car vegetable cooler erected 
at Sanford, by the Sanford Farmers Exchange. After careful pre- 
liminary tests it became apparent that much time could be saved 
in cooling such vegetables as celery, lettuce and peppers, if ice- 
water were used as the cooling medium, instead of cold air methods. 

It was found that the ice-water system also produced marked 
improvement in the quality, as the vegetables were not wilted dur- 
ing the cooling process. Instead, they become so charged with the 
cold water that they remained fresh and crisp. These investigations 
led the Sanford growers to erect a plant in which their produce 

57 



FIFTY YEARS OF CITRUS 

could be washed, packed, cooled, loaded into cars, and cars supplied 
with ice. The plant, costing approximately $110,000, was erected in 
73 working days, and with materials bought almost entirely through 
the Exchange Supply Company. 

A general idea of advancement along cooling lines developed at 
this plant, can be judged by the fact that a carload of celery can be 
cooled and loaded in one hour and twenty minutes, whereas the 
usual time for the cooling alone, under the air circulation system, 
has usually been from 12 to 20 hours, with a much more costly 
plant and with two unnecessary handlings of the product. The 
Sanford plant operated successfully during the season, and the 
prices obtained on competitive markets of the North for the washed 
and precooled stock, when reduced to an f. o. b. basis, ranged from 
10 per cent to 25 per cent higher than for field packed and standard 
refrigerated stock from the same locality. 

Exchange associations at Kissimmee and Mount Dora are com- 
pleting new precoolers which will be available for the coming sea- 
son. In both cases radical changes have been made as compared 
with plants formerly constructed, and decided economies in con- 
struction and operation are indicated. The plants have been de- 
signed for rapid, even cooling and, for the reason that no direct 
comparisons can be made, it would be futile to express here the ul- 
timate advancement hoped for. However, prominent refrigeration 
engineers, whose criticisms have been solicited, express the opinion 
that the Exchange is contributing appreciably to the art of precool- 
ing and that the new plants will be second to none. 

Investigations along precooling lines have been diligently follow- 
ed for the past two seasons. The first season's work demanded 
technical tests, and eventually radical changes in houses already in 
operation, to better adapt the plants to our needs. This work has 
been continued, but in a lesser degree during the past season. 
While it is not claimed that perfection has been reached in design 
and operation, it is evident that precooling is well enough under- 
stood, and its basic principles are well enough defined, to warrant 
investment by such associations as desire to share in its benefits. 
This view of the subject has occasioned the gathering of statistical 
data on shipments from all Exchange houses, so that we may be 
better able to render service to such associations as are contem- 
plating precooling. 

Membership Drive 

Our membership campaign culminated in an intensive drive 
during the week of September 11 to 16. 

58 



1921-1922 

We realize that this year our association and sub-exchange 
meetings were a little late, as many growers had left the state for 
vacations and others who only maintained a winter residence here 
had gone North. Nevertheless, meetings were held in each sub- 
exchange, at which were present all association directors and associ- 
ation managers, together with the directors of the sub-exchanges. 
After this series of meetings each sub-exchange arranged for a 
meeting at practically every association in its territory. 

The response of the growers was beyond our expectations, and 
the realization of the duties of directors and members, when prop- 
erly explained, created an enthusiasm that was most gratifying. 

This organization is built on membership, and so this was term- 
ed a membership campaign. We gained many new members and 
a very considerable volume of fruit. One sub-exchange shows an 
increase of nearly 50 per cent, not counting fruit that had been 
purchased in their territory by the Standard Growers Exchange. 
The gain in membership, and fruit, varied considerably in different 
sub-exchanges, but there was no difference in the enthusiasm cre- 
ated. 

This is probably the first of many similar campaigns, and we 
feel assured that we have accomplished the first step, which is to 
bring our present membership into a more solid unit. They now 
realize that during the past few years they have been accepting 
many statements as facts that were not facts but that originated from 
the ambitions of competitors to discredit our organization and its 
accomplishments. 

If this campaign accomplishes nothing more than to have the 
membership realize that its sole source of reliable information is 
from the organization itself, we should be satisfied; and we are 
satisfied, because members now understand that there are no oper- 
ations about which they cannot get full information, and that it is 
their duty to keep in close contact with the associations and the 
sub-exchanges; and further, that it is their duty to spread reliable in- 
formation regarding the operations of the Florida Citrus Exchange. 



59 



CHAPTER 9 



1922*1923 



THE BOARD of directors for the 1922-23 
season was seated at the board meeting of June 8, 1922, and includ- 
ed L. M. Hammel of DeSoto County Citrus Sub-Exchange, D. C. 
Gillett of Hillsborough County Citrus Sub-Exchange, Henry C. 
Merrill of Indian River Citrus Sub-Exchange, J. W. Ponder of 
Manatee County Citrus Sub-Exchange, P. C. Peters of Orange 
County Citrus Sub-Exchange, R. J. Kepler, Jr., of Volusia County 
Citrus Sub-Exchange, John A. Snively of Polk County Citrus Sub- 
Exchange, F. C. W. Kramer, Jr., of Highland Citrus Sub-Exchange, 
Joy Heck of Dade County Citrus Sub-Exchange, and J. C. Stubbs 
of Lee County Citrus Sub-Exchange. 

It is to be noted with interest that Dr. J. H. Ross, who had 
until this time served as president of the Exchange and as director 
representing Polk County Citrus Sub-Exchange for twelve years, 
was not seated as a member of the board of directors at the June 
8, 1922, meeting, being replaced as the Polk representative by John 
A. Snively. This meeting did, however, see the board approve an 
amendment of the charter of the Florida Citrus Exchange, which 
spelled out certain changes in the qualifications of the officers of 
the cooperative. With regard to the president, the amendment 
specified that the president need not be a member of the board, 
provided he qualified as a member of any association affiliated with 
the Exchange. In the event a board member representing a sub- 
exchange was elected to the presidency, the amendment required 



1922-1923 

that the sub-exchange from which the new president was elected 
immediately name a new representative to the board. It seems to 
have been the intention of the board to place its president above 
the somewhat embarrassing predicament of exercising judgment for 
the good of the entire organization while still faced with the respon- 
sibility of doing his utmost for the good of his own sub-exchange. 

At any rate, Dr. J. H. Ross was re-elected as president of the 
Florida Citrus Exchange on June 8, 1922, and continued to exercise 
great influence on the policy of the organization. D. C. Gillett 
was named first vice-president, and P. C. Peters was named second 
vice-president. C. E. Stewart was continued as secretary, Business 
Manager W. T. Covode was continued as cashier, and William Hunt- 
er was continued as attorney. Two associate directors were named 
at this meeting. They were S. C. Warner of East Palatka and E. B. 
Casler of Pinellas County. In addition to the two associate directors, 
V. B. Newton was named as special director by virtue of his associa- 
tion as treasurer of the recently merged Standard Growers Exchange, 
which was now integrated with the Florida Citrus Exchange. 

The minutes of the July 7 meeting would seem to indicate that 
the board's advertising committee and its advertising agency enter- 
ed upon their first major disagreement in the expenditure of funds. 
The Thomas Advertising Service, which had handled the Exchange 
account from the very first, made a strong and compelling argu- 
ment against the use of streetcar advertisements. Their lengthy 
presentation outlined agency feeling that money should be used, 
instead, in additional painted signs for New York, Philadelphia, 
Chicago, and Boston. To quote directly from the minutes: "The 
subject under consideration was discussed at length by members of 
the committee, and on motion duly made and seconded, the com- 
mittee voted to recommend to the board that the sum of $15,000 be 
authorized for streetcar advertising." 

But the committee's recommendation was not accepted by the 
board, which apparently could not muster agreement either for or 
against the streetcar advertisement proposal. As so often happened, 
the board finally tabled the proposal. Some indication of the deep 
feeling concerning the streetcar ad proposal is evident in the fact 
that the matter was tabled at the July 7 meeting, tabled at the Sep- 
tember meeting, and tabled at the October meeting, with agree- 
ment that it would not again be brought before the board during 
the current year (1922). 

61 



FIFTY YEARS OF CITRUS 

On October 5, 1922, the board took note of the death of M. E. 
Gillett, first general manager of the Exchange, and one of the orig- 
inal factors in the organization of the cooperative. In a resolution 
expressing sympathy to Mrs. Gillett, and to their son, D. C. Gillett, 
at this time a member of the board of directors, the Florida Citrus 
Exchange paid tribute to the great cooperative work accomplished 
by the elder Gillett during his lifetime. 

Also at the October 5, 1922, meeting, the board finalized ar- 
rangements with a group of Polk County associations for the purpose 
of canning grapefruit. The product would be marketed by the 
sales department of the Florida Citrus Exchange under the brand- 
name seald heart, the brand name being made available to any 
Exchange affiliate which would conform to quality standards es- 
tablished by the organization. 

Under an arrangement with the Winter Haven Fruit Products 
Association, the Exchange agreed to rent that association a pack- 
inghouse at Eagle Lake, which formerly had belonged to Standard 
Growers Exchange, to be used as a factory for canning grapefruit. 
Although it is possible that earlier canning ventures had been enter- 
ed into on a much smaller scale, this transaction on October 5, 1922, 
was the first canning operation undertaken by the Exchange of 
sufficient importance to have been recorded in the minutes of the 
cooperative. 

Along with the decision to enter the processing field, the Ex- 
change felt it imperative to expand the activities of its chemist, S. 
S. Walker, to cover further experiments in citrus canning as well as 
to conduct quality tests to assure high market acceptability of all 
canned products under the seald heart label. But, with all the 
apparent progress of the large cooperative, the minutes of this peri- 
od indicate that the bulky channels of communications between 
packers and the central office were under constant criticism from 
the associations. 

Typical of this difficulty is an item in the minutes of the Decem- 
ber 21, 1922, board meeting: 

The President brought to the attention of the Board that very 
heavy shipments of citrus fruit had gone forward in the last two 
weeks, notwithstanding the fact that the sales manager had repeat- 
edly requested the sub-exchange managers to slow up shipments 
and upon motion of J. E. Klock, seconded by C. J. Stubbs, and duly 
carried, it was moved that the president and business manager be 

62 



1922-1923 

authorized to investigate these shipments and ascertain who had 
disregarded the advice of the sales department. 

Apparently in conflict with the nature of this item is another 
item from the same meeting: 

At the last meeting of the board the business manager and attor- 
ney were instructed to prepare a bylaw to go in the Specimen By- 
Laws for Associations. The business manager submitted the fol- 
lowing: 

Each member of the association shall have the right to control 
the selection of markets, and the time of shipment of his fruit. 

On motion of Mr. Snively, seconded by Mr. Stubbs and unani- 
mously carried, it was voted to adopt the above paragraph for our 
Specimen By-Laws for Associations. 

Another disturbing factor affecting not only the Exchange but 
the entire industry at this time was the introduction of the blackfly 
into Florida. K. E. Bragdon of the horticultural department of the 
Exchange Supply Company appeared before the board and spoke 
at length on the danger of the introduction of the blackfly into 
Florida through the port at Key West. Bragdon's address moved 
the board to notify the State Plant Board that the Exchange was in 
"hearty sympathy" with a move to have a fumigation plant erected 
at Key West by the Federal Horticultural Board, and that the or- 
ganization would if necessary contribute financial support to has- 
ten the program. 

At the beginning of the new year, 1923, the Exchange took up 
a problem which had been arising with alarming frequency for many 
months. This was the problem of fruit which did not meet speci- 
fications of top quality, but which nonetheless remained to be 
marketed by the organization. 

On March 28, 1923, the advertising committee recommended to 
the board that the seald sweet trade-mark be retained for the 
major portion of the fruit marketed through the Exchange, and that 
a new trade-mark be designed and adopted for that portion of the 
output of its members that was of superior quality, fruit marketed 
under each trade-mark to be advertised for exactly what it was. 

The board was disposed, however, to postpone action on this 
matter, turning instead to a complicated plan for the erection and 
equipage of canning factories under the Exchange system. While 
no record of progress in this field is filed in the regular minutes of 

63 



FIFTY YEARS OF CITRUS 

the Exchange, there is substantial evidence that special but tech- 
nically unofficial meetings were occurring frequently as the future 
importance of citrus processing became more and more apparent. 

One problem that had plagued the Exchange since its inception 
stemmed from those years in which various grower-members of 
Exchange associations felt that they were incurring financial losses 
by not being permitted to sell their own fruit to speculators. A 
committee report submitted and approved by the board on May 23, 
1923, made the following provisions: 

That no sale be consummated without consultation with the 
association, the sub-exchange, and the Florida Citrus Exchange and 
have their approval. 

After the sale has been approved by the sales manager, the sub- 
exchange and the association, the grower agrees to pay 25 per cent 
of the combined selling contingency and advertising charges of the 
Florida Citrus Exchange, 50 per cent of the sub-exchange charge, 
and 50 per cent of the estimated over-head charge and all of the 
per-box building and equipment retain of the association. 

The committee, composed of F. C. W. Kramer, Jr., John A. 
Snively, P. C. Peters, George A. Scott, and C. E. Stewart, Jr., pre- 
ceded these recommendations with the following preamble: 

Realizing that the growers of our organization are being con- 
stantly approached by the speculative buyers regarding the purchase 
of their crops, and realizing that sometimes these cash offers are 
at first very attractive to the grower because of the cash in hand 
available immediately, and second, because at times these offers 
appear to be higher than market warrants or would apparently 
justify in the immediate future, your committee discussed for some 
time the possibility of suggesting some plan to you that would per- 
mit the grower to take advantage of these offers, but at the same 
time support his association, sub-exchange, and the Florida Citrus 
Exchange, and thus still remain a member in good standing, feeling 
that at times growers felt compelled to accept these offers and 
under present conditions were placed in a position of breaking their 
contract or sustaining what appeared to them as a possible finan- 
cial loss. 

The report of the committee was accepted by the board, and the 
minutes bear a pencilled notation that the report was adopted. At 
any rate, it was ordered that copies of the report be sent to all sub- 
exchanges. 

64 



1922-1923 

The 1922-23 season concluded with the annual meeting which 
was held on June 5, 1923. The first action of the board was to ap- 
prove a record expenditure for advertising for the coming season 
in the amount of $240,000 for fresh-fruit advertising and an addi- 
tional $20,000 for advertising the relatively new canned grapefruit 

SEALD HEART. 

Credentials of the new board were presented and members 
were seated for the 1923-24 season. They were John A. Snively of 
Polk County, E. P. Livermore of Dade County, L. W. Tilden of 
Orange County, C. J. Stubbs of Lee County, A. F. Wyman of Man- 
atee County, J. W. Perkins of Volusia County, D. C. Gillett of Hills- 
borough County, W. R. Lee of Marion County, H. G. Putnam of 
Indian River County, F. C. W. Kramer, Jr., of Highland County, 
and L. M. Hammel of DeSoto County. V. B. Newton was subse- 
quently seated on the board representing Standard Growers Ex- 
change. 

Dr. J. H. Ross was re-elected to the presidency. D. C. Gillett 
was selected as first vice-president and F. C. W. Kramer, Jr., was 
chosen as second vice-president. C. E. Stewart, Jr., was designated 
secretary and business manager, W. T. Covode was named cashier, 
and George A. Scott was retained in the position of general sales 
manager. 



65 



CHAPTER 10 



1923*1924 



ONE OF the first matters of business con- 
ducted by the 1923-24 board was that of appropriating money for 
increased advertising of seald heart canned grapefruit. A budget 
item of $20,000 had been originally scheduled for this purpose, but 
action of the new board on July 26 increased this amount to $25,000, 
Also, in regard to advertising, the board agreed on September 19* 
1923, to purchase a truck painted with the advertisements of the 
Florida Citrus Exchange and manned with Exchange salesmen for 
the purpose of covering the State of Florida to demonstrate seald 
heart canned grapefruit. 

It was during this era that the Florida Citrus Exchange felt 
compelled to establish its own inspection department on a much 
larger scale than had heretofore been employed. The decision in- 
cluded dividing the citrus growing area of the state into five districts 
in such a manner as to make for efficiency in handling and economy 
in traveling. The plan would include appointment of a chief in- 
spector along with several assistants. 

Official action in the employment of the chief inspector finally 
took place on December 19, 1923, after several weeks of controversy 
within the organization regarding the man to be employed for the 
position. Eventually hired for the position was Harold Crews who 
had for some years been employed as manager of the DeSoto 
County Sub-Exchange. 

Whether the detailed inspection program as envisioned by the 

66 



1923-1924 

board at that time actually fulfilled the expectations of the board 
is not apparent in records covering this period; however, it must 
be noted that the establishment of this facility was made in an hon- 
est effort to improve both the maturity and quality of fresh citrus 
being shipped to market under the Exchange brand. 

The most far-reaching and informal paper available to the writer 
from the 1923-24 season is the verbatim report of an address deliv- 
ered to the board by Business Manager C. E. Stewart, Jr., on January 
24, 1924. Because Stewart's address is indicative of the times and 
problems of this period we quote the message in its entirety: 

Gentlemen of the Board, if I may be privileged to say before I 
read this, that to arrive at a conclusion, suggesting a plan that might 
put the Exchange in the right light throughout the State of Florida, 
those premises that were laid down were not chosen for the purpose 
of bringing a conclusion that was desired by me. When I started 
to analyze the situation I did not know where I was going to land. 
I am not trying to sell any pet theories; I do not mind if the Board 
shoots this plan to pieces. This is the way I see it after trying to 
take into consideration every factor. 

Keen interest is being taken by growers and apparently by some 
marketing organizations throughout the state to establish some sat- 
isfactory method whereby the greater majority of the crop could be 
marketed in a cooperative way. 

The question uppermost in the minds, thinking about the prop- 
osition is . . . "Why isn't the Exchange given better support?" 

Hundreds of ideas to improve conditions have been put forth, 
but most of these have bordered upon what might be termed "pat- 
ented panaceas," and the purpose of this paper is to bring to your 
attention that perhaps we are in the exact position of the old lady 
who searched long and hard for her spectacles to finally find them 
on her own nose. That there is something the matter we must all 
agree and your Manager believes that the time has come to discuss 
the situation frankly and bring out, if possible, the causes of unrest, 
dissatisfaction and criticism. 

No organization has been criticized as severely and as constantly 
as the Florida Citrus Exchange. Practically all of the criticism of 
the Exchange has been of the Florida Citrus Exchange only as re- 
gards the Tampa organization. These criticisms are caused by 
misinformation and rumor about things that have been done by 
the directors of the Florida Citrus Exchange. Plans and decisions 
are made for the good of the business as the directors see it. But 
the directors are unable to see a sufficient number of their county 

67 



FIFTY YEARS OF CITRUS 

people to explain purposes, whereas the opposition or some dis- 
gruntled member of this organization makes it his business to spread 
the news as he sees it and no one is there to defend this office or 
this board of directors until after tremendous sentiment has been 
built up and any explanations then are only received as excuses. 

I submit that the trouble has been, and is, that there is a con- 
stant attempt to harmonize twelve different localities of this state 
on what is other than the sole purpose for which this institution was 
organized. 

The Florida Citrus Exchange was intended originally to, and 
should, have a single function. This function is divided into three 
main activities of which there are five necessary off-shoots or con- 
tingent activities. 

The function of the Florida Citrus Exchange is to sell fruit and 
to sell fruit intelligently; there should be three divisions of the oper- 
ation: first, to obtain the very best information possible as to market 
conditions, showing what to ship and when to ship it; second, to 
effect a sale when such fruit is shipped; third, to collect the money 
and remit it to the shipper. Those are the three main and funda- 
mental functions of this organization. There are five other neces- 
sary activities; first, judicious advertising for the promotion of sales; 
second, a satisfactory traffic department, (a) to assist in the handling 
and diversion of cars, (b) for the collection of claims; third, an in- 
spection department to inspect, (a) the grade and pack of fruit that 
is put under advertised brands, (b) to assist packing houses in devel- 
oping proper methods; fourth, a single organizer for the purpose of 
working in territories that are not developed; fifth, an auditor to 
see that the money sent the sub-exchange is remitted to the associ- 
ations promptly and correctly. 

All other functions can be handled better by and should be 
handled by the sub-exchange. Any unrest that has developed in 
the Florida Citrus Exchange has developed because certain plans, 
policies or rules were suggested or put in force which were accep- 
table to certain sub-exchanges but not acceptable to other sub- 
exchanges. 

The citrus belt of Florida is spread over a very large area, and 
conditions and people are to a considerable extent different in each 
locality. Sub-exchanges should have the right to order this "ruli- 
ness," from an organization standpoint, to meet the conditions 
as they find them in that locality. The representative sent to this 
office should consult with the general sales manager as to what is 
most advantageous to ship, what are the best sizes to ship and in 
what volume. Throughout the shipping season these meetings 

68 



1923-1924 

should occur not less than every two weeks; these representatives 
should be sent to Tampa at the expense of the sub-exchange with 
full authority to enter into agreements with representatives from 
other sections of the state and the necessary authority to control 
the production of the packing houses in their territory. 

In this office there has developed a certain amount of paternal- 
ism. We have helped some sub-exchanges, we have helped some 
associations, we have a considerable amount on certificates of 
deposit in various banks throughout the state to help finances of 
local associations and sub-exchanges. This office needs a certain 
amount of working capital because we cannot collect enough money 
in the first part of the shipping season to pay our expenses, and we 
are always in danger of making expenditures and having our income 
cut off almost entirely in the midst of the season by some disaster. 
But the amount of money we need is not considerable. A certain 
proportion of the funds now held by the Florida Citrus Exchange 
could be given back to the sub-exchanges so that they could handle 
their own financial arrangements in their sub-exchange. The one 
hundred and thirty thousand odd dollars that we have on certifi- 
cates of deposit is of doubtful benefit to this office but is of con- 
siderable benefit to the sub-exchanges. I submit it would be of 
more benefit to the sub-exchanges if the sub-exchange had the hand- 
ling of these funds. The sub-exchange must function as a business 
corporation, closely confined, studying the local conditions constant- 
ly and meeting them in a business way, the same as any other com- 
mercial marketing or packing company meets them — meet them 
in the way that the particular territory demands without regard 
as to how they are met in other sections. This responsibility be- 
longs to the associations and sub-exchanges. Show me a man with- 
out responsibilities and I will show you a failure. Show me an 
unsuccessful association and it is one accepting no responsibilities 
but depending on the Tampa office and not recognizing its own 
opportunities. The successful associations, the ones that pay regu- 
larly the highest dollars to their growers, are the ones taking on 
responsibilities. 

I know nothing of the operations of the Standard Growers Ex- 
change; they handle their own business, they collect their own fruit, 
they operate their own packing houses, but our contact with them 
is solely on the basis of handling the fruit that they ship. This is an 
ideal condition and if all sub-exchanges contact with this office was 
confined solely to the handling of the fruit that they ship, you would 
find that the criticism of the Florida Citrus Exchange, as such, 
would disappear, that it would function then 100 per cent as an 

69 



FIFTY YEARS OF CITRUS 

efficient marketing combination where the fruit interest of the entire 
citrus belt could meet the final decisions and agreements entered 
into, and by having this fruit go through one channel, it could be 
seen whether the agreements were lived up to. 

There has been too much attention given to influencing the 
grower in some other way than by paying him the high dollar. 
Growers in sub-exchanges, instead of going to their headquarters, 
that is their sub-exchanges, deem it a privilege to come to this 
office feeling that they are getting closer to the organization. A 
grower should have only one thought in mind in joining an associ- 
ation; what to ship and when to ship it. All other arrangements 
with his associations are to help make the association function prop- 
erly. I know that there are certain rules and regulations that have 
been put in force that sub-exchanges feel hamper them and other 
sub-exchanges feel are of an advantage, and if two sub-exchanges 
operate on slightly different plans, locally, you would find that this 
would not affect the orderly marketing of their fruit or the estab- 
lishment of certain brands. 

It must be recognized that there is always going to be a certain 
amount of keen competition between sub-exchanges, and in sub-ex- 
changes between associations. It is true that some associations re- 
turn a higher price than others to their growers for the same qual- 
ity of fruit. This shows more efficient management in the local 
association. This should be built up by the sub-exchange rather 
than hampered by general agreements entered into a half-hearted 
way by all associations throughout the entire state. There are more 
ways than one of accomplishing almost any business enterprise, but 
we do agree that there is only one way to market the entire crop 
for the State of Florida and that is that each packing organization 
should know what the other packing organization is doing and 
work in harmony with it, under agreements of "what and when to 
ship." 

Everyone realizes that we must have proper advertising to pro- 
mote the sales of fruit of an organization. It is useless to advertise 
nationally unless it is what is termed "trademark advertising." 
Each sub-exchange should pay its proportion on a box basis to sup- 
port such advertising; but if an association does not wish to con- 
form to the standard set for that advertised brand it should have 
the privilege of shipping under other brands, but it still should pay 
its share of the national advertising for the general promotion of 
sales of the entire crop. This is best adjusted on a box basis. It 
would probably be best to incorporate the advertising in the general 
budget and make a flat selling charge to cover it all. All shippers 

70 



1923-1924 

must pay the selling charge whether they use the advertised brands 
or not. 

Recently some associates of managers of one sub-exchange made 
a trip to some Northern markets. They came back with well-defined 
ideas to as what was best for their association and what their par- 
ticular customers desired. Surely if they coordinated the movement 
of their fruit with the general movement of the fruit through the 
Exchange they should be permitted to so order their business as 
seems most advantageous to them from investigation that they have 
made. 

The independent marketing organizations are taking some inter- 
est in cooperative marketing. What the commercial marketing or- 
ganization is considering is losing its own identity, that is, John Doe 
and Company might be willing to cooperate in the marketing of 
their crops provided they could still remain John Doe and Company. 
We see no reason why a commercial marketing organization really 
desiring to cooperate could not join the Florida Citrus Exchange and 
operate as a sub-exchange member. If Chase and Company were 
to join the Florida Citrus Exchange why could not Chase and Com- 
pany operate as a sub-exchange? They have packing houses, they 
can buy fruit or they can pack fruit from the groves that they own 
or have leased. This could be presented through the Florida Citrus 
Exchange just the same as fruit of any sub-exchange. This would 
bring about some competition in our sub-exchange territories, but 
I submit that if a commercial marketing organization can give the 
growers better service, can operate their packing houses more eco- 
nomically, can get the fruit off with great dispatch, when it is profit- 
able to ship it, that such competition would have a most stimulating 
effect upon the operation of our associations and sub-exchanges. It 
would bring out most forcibly that the thing that is holding the 
grower is the high dollar and service. 

Associations that have been outstanding successes in the Florida 
Citrus Exchange could just as well operate alone and independent 
under the present disorderly movement of the fruit from the state. 
The only attraction to those associations in affiliating with the Flor- 
ida Citrus Exchange is to coordinate the movement of all fruit and 
establish nationally advertised brands. Therefore, they should be 
permitted to order their own business in cooperation with their sub- 
exchange, as seems most advantageous, providing that they cooper- 
ate 100 per cent in the orderly movement of fruit. 

If these marketing organizations wish to hold their own brands, 
they can do it of course. They could also put on the boxes the 
trademark of our advertised brand; they would surely have to pay 

71 



FIFTY YEARS OF CITRUS 

their advertising assessment, and if they want to take advantage of 
the national advertising it would be up to them to conform to the 
grading rules for that advertised brand. 

Many growers throughout the state feel that the Florida Citrus 
Exchange is not willing to make it possible for these commercial 
marketing organizations, especially those that own and control 
groves, to work with them, and I suggest that the Florida Citrus 
Exchange immediately advertise in full-page advertisements, one 
issue, in all daily papers of this state, the fact that a commercial mar- 
keting organization can affiliate with the Florida Citrus Exchange 
and still retain its identity; that it will have representation on a box 
basis of the Board of Directors of the Florida Citrus Exchange, the 
Board's function being solely on questions of selling; and the con- 
trol of their business will be absolutely in their hands; that the con- 
trol of business in every sub-exchange will be absolutely in its own 
hands. Operated in this way, we would have a real representative 
marketing organization. I believe this advertisement could be made 
clear enough and forceful enough to convince every grower in the 
state that the next move was up to the commercial marketing organ- 
izations; that we had outlined a plan that was reasonable and work- 
able. The Exchange would be relieved of the burden of criticism 
and we would prove to every grower of the State of Florida that we 
were ready and willing to re-vamp this organization to meet the 
present needs of marketing the crop. The only thing would be that 
fruit would be presented through the Florida Citrus Exchange and 
agreements would be entered into as to the volume to be shipped 
and when shipped through a central marketing organization. It is 
possible that the commercial marketing organizations would not 
find it is easy to solicit fruit to handle on brokerage, but if that was 
the point that defeated this combination the growers of the state 
would know it and would realize that the independent marketing 
interests were defeating the establishment of a large cooperative 
selling organization for purely personal reasons. 

I submit that we do not need any "patent panaceas," that we 
have got in our organization the fundamentals, if rigidly adhered 
to, of establishing the kind of organization this industry needs; that 
now is the time to clear the decks and confine our activities solely 
to the purpose for which we were organized, that of selling fruit, and 
leave all of the policies and plans calculated to create sentiment 
and influence growers in the various localities through the state to 
the sub-exchanges. 

I sincerely trust that a committee will be appointed to prepare 
and pass on a copy of an advertisement to suggest to the state that 

72 



1923-1924 

those marketing organizations that wish to affiliate with the Florida 
Citrus Exchange can affiliate on the same basis as the sub-exchange; 
that immediate steps be taken to confine the operations of this office 
solely to the marketing of fruit; and I assure you that if the opera- 
tions of this office are gone over carefully with your manager we 
can reduce expenses, overheads, get rid of unnecessary work and 
help establish sub-exchanges that will function as real business in- 
stitutions, operating in localities along the lines that those local- 
ities demand. These suggestions are not based on theory. 

The foregoing address was accepted by the board, and work 
was commenced immediately to make the necessary changes and 
provisions of charter and bylaws to accomplish (a) a change in rep- 
resentation of sub-exchanges to put the same upon a box basis, (b) 
a change in the operations of the Florida Citrus Exchange which 
would confine it exclusively to the marketing of the products of 
its members, and (c) that a commercial marketing organization 
could affiliate with the Florida Citrus Exchange and operate as a 
sub-exchange at large. 

To the contemporary citrus man, it will become at once appar- 
ent that most of the recommendations of Stewart have come to pass 
and that most of his philosophy concerning the Exchange remains 
today as a part of the organizations policy with regard to its mem- 
bers. 

It should also be noted in this chapter that three new em- 
ployees of the Florida Citrus Exchange during the 1923-24 season 
were Charles Felix, Frederick Swain Johnston, and E. F. Gudgen, 
all of whom were still employed by the firm at the close of 1959. 
Johnston, who retired on January 6, 1960, completed his long career 
as general sales manager. Felix is an assistant sales manager, and 
Gudgen holds the position of auditor for the Exchange. ■ 



73 



CHAPTER 11 



1924^1925 



WHILE the preceeding chapter will suffice 
to tell much about the 1923-24 season, this history must record that 
during the latter months of that season, Dr. J. H. Ross, who had 
served as president of the Florida Citrus Exchange during the tur- 
bulent years since the 1914-15 season, decided to resign from active 
participation in the affairs of the Exchange. 

The resignation of Dr. Ross was deplored by most members of 
the board, who felt that the leadership of the aging Ross was in- 
dispensable to the Exchange during these times. That he was a 
leader there can be no doubt. He was, on the basis of records still 
on file at the Exchange, a prolific writer and an effective speaker. A 
firm believer in the cooperative movement, Ross carried the Ex- 
change banner high. He was unyielding in his search for methods 
to improve the quality of Florida citrus, and time and time again 
he badgered, berated, and pleaded with the Florida citrus industry 
to change its ways — to improve quality, and to cooperate to a 
fuller extent in the sale of Florida citrus. There can be little doubt 
that the policies of the Exchange reflected Dr. Ross's dynamic per- 
sonality. His ideas, if considered in the light of what was to be the 
future of the Florida citrus industry, were well ahead of the times. 
His white hair and flowing white mustache, a familiar sight at al- 
most any citrus meeting, framed an intelligent countenance known 
and respected throughout the industry. 

Thus at its first meeting, the board just elected for the 1924-25 

74 



1924-1925 

season received and accepted with regret the resignation of Dr. Ross 
on June 5, 1924. The board consisted of E. P. Livermore of Dade 
County Citrus Sub-Exchange, L. M. Hammell of DeSoto County 
Citrus Sub-Exchange, John A. Snively of Florence Villa Citrus Sub- 
Exchange, F. C. W. Kramer of Highland Citrus Sub-Exchange, D. 
C. Gillett of Hillsborough Citrus Sub-Exchange, Homer Needles of 
Indian River Citrus Sub-Exchange, R. O. Philpot of Lake Region 
Citrus Sub-Exchange, Edward Parkinson of Lee County Citrus Sub- 
Exchange, Josiah Varn of Manatee County Citrus Sub-Exchange, 
Walter R. Lee of Marion County Citrus Sub-Exchange, J. S. Cadel 
of Orange County Citrus Sub-Exchange, John S. Taylor of Pinellas 
Citrus Sub-Exchange, Vet L. Brown of Polk County Citrus Sub- 
Exchange, E. L. Wirt of Ridge Citrus Sub-Exchange, A. V. Ander- 
son of Scenic Citrus Sub-Exchange, R. J. Kepler, Jr., of Volusia 
County Citrus Sub-Exchange, H. E. Cornell of Winter Haven Citrus 
Sub-Exchange, W. W. Yothers of Lake Apopka Citrus Sub-Ex- 
change, L. W. Tilden of Seminole-Orange Citrus Sub-Exchange, and 
W. E. Lee and V. B. Newton as special directors. 

With regard to the resignation of Dr. Ross, a motion was placed 
before the board that Dr. Ross be appointed president-emeritus of 
the Florida Citrus Exchange and that his salary be continued for 
the balance of his lifetime. To this motion, Dr. Ross made the 
following reply: 

I would like to say one word if the board will indulge me. I 
find myself now in a very embarrassing position. I am telling you 
frankly that I would not accept this honor if you voted it with the 
understanding that my salary continue. I am not a rich man but 
fortunately I am not a pauper. I do not need the salary. I have 
always considered it as purely nominal. Now that more or less 
active service will be discontinued I certainly could not, and I think 
it would be very unwise, for this board to offer me a salary and I 
could not possibly accept it. The other side of the motion, a man 
would be less than human if he did not appreciate the expression of 
your confidence by electing him emeritus president of the organiza- 
tion. If that came to me, and I thought it was unanimous, a real 
expression of your feelings, I should place it among the great many 
hundreds of things that have been said to me that would be a com- 
fort to me during the balance of my life. It would be purely an 
expression of the confidence and esteem you had for me. 

With this brief address, Dr. Ross retired from the presidency of 

75 



FIFTY YEARS OF CITRUS 

the Florida Citrus Exchange. He was unanimously elected to the 
position of president-emeritus and retired in high respect by the 
great majority of all those who knew him. Subsequent action of 
the board also bestowed upon Dr. Ross the degree of Doctor of 
Cooperative Service. 

The board then undertook the task of electing a new president. 
In short order, the names of Dr. W. A. Mackenzie of Leesburg and 
L. C. Edwards of Thonatasassa were placed in nomination. On 
the first count from a total of 19 votes, Edwards received 12 votes 
and Mackenzie received 7. A second roll call vote saw the unani- 
mous election of Mr. Edwards to the presidency. 

Other officers elected at this time were F. C. W. Kramer, Jr., as 
first vice-president, John A. Snively as second vice-president, and 
E. L. Wirt as chairman of the board. Elected as secretary was C. 
E. Stewart, Jr.; and W. T. Covode was elected to continue as the 
cashier of the organization. Judge William Hunter was continued 
as the legal counsel for the Exchange, the general sales manager 
was George A. Scott, and E. D. Dow was continued as traffic man- 
ager. 

Two additional vice-presidents were added to the officers of the 
board on June 18. They were L. W. Tilden as third vice-president 
and V. B. Newton as fourth vice-president. 

Several matters indicative of the times and of major importance 
occurred during the 1924-25 season. Among these was a decision 
by the board to seek for and employ a full-time advertising manager 
capable of administering the Exchange's advertising program, which 
was expected to reach above $400,000 for the 1924-25 season. While 
no immediate action was taken on this matter, the minutes of the 
August 20 meeting indicate the employment of John Moscrip as 
a full-time advertising director. The records of the July 16, 1924, 
meeting also indicate the employment of W. E. Lee as chief organiz- 
er for the organization. 

A resolution emerging from this meeting is particularly interest- 
ing because it foreshadowed the course of things to come. 

Whereas, in 1909 the North DeSoto Citrus Sub-Exchange, also 
the Arcadia Citrus Sub-Exchange, were lawfully incorporated under 
the laws of Florida and both were duly recognized and admitted as 
Sub-Exchanges in the Florida Citrus Exchange, and, 

Whereas, afterwards, in 1910, the said two sub-exchanges at- 
tempted by resolution passed in joint meeting of their boards of 

76 



1924-1925 

directors to consolidate and operate under the name of DeSoto Cit- 
rus Sub-Exchange but were never chartered under the laws of 
Florida, and, 

Whereas, the Board of Directors of said DeSoto Citrus Sub- 
Exchange has decided to dissolve said consolidation, and, 

Whereas, the North DeSoto Citrus Sub-Exchange has amended 
its charter so as to change the name to the Hardee Citrus Sub-Ex- 
change, 

Therefore be it resolved, that this board of directors recognize 
the said Hardee Citrus Sub-Exchange, covering all of Hardee Coun- 
ty and comprised at present of 

Limestone Citrus Growers Association 

Ona Citrus Growers Association 

Wauchula Citrus Growers Association 

Zolfo Citrus Growers Association 
and the Arcadia Citrus Sub-Exchange, embracing the territory in 
DeSoto and Charlotte counties and at present comprised of 

Arcadia Citrus Growers Association 

Fort Ogden Citrus Growers Association 

Nocatee Citrus Growers Association 

Punta Gorda Citrus Growers Association 

Russ and Hollinsworth of Brownville 

B. F. Welles of Fort Ogden 
and that the directors elected by each of said citrus sub-exchanges 
be seated as members of the Board of Directors of the Florida Citrus 
Exchange. 

The resolution was accepted by the board and subsequent ac- 
tion saw L. Mo Hammel of the defunct DeSoto County Citrus Sub- 
Exchange reseated as a director representing the Hardee Citrus 
Sub-Exchange. The director representing the Arcadia Citrus Sub- 
Exchange was B. F. Welles of Arcadia. The name of the Arcadia 
Sub-Exchange was changed later in the year to the Charlotte Cit- 
rus Sub-Exchange. 

It is interesting to note that the advertising budget for this sea- 
son was based on an expected 10,000,000 boxes of citrus to be 
handled by the Exchange at an advertising assessment of four cents 
per box. 

The expenditure of these funds was broken down to include 
salaries at $25,000, art work and engravings at $20,000, literature 
(display racks, store cards, etc.) at $10,000, medical and nursing 
journals at $4,000, magazines at $100,000, newspapers at $133,000, 

77 



FIFTY YEARS OF CITRUS 

billboards, streetcars, exhibits at $25,000, and sales service at $25,- 
000. A miscellaneous category, along with a special bulk-fruit ad- 
vertising program would take up the remainder of the $400,000 
budget. 

The matter of billboard and streetcar advertising which had 
traditionally sparked controversy among members of the board 
again brought forth considerable argument. To quote Josiah Varn: 

I have been much interested in the outcome of the billboard ad- 
vertising into which the committee was requested to look. The 
whole country is now fighting the billboard advertising to the ex- 
tent of boycotting people that are advertising on billboards. 

C. E. Stewart, business manager, asserted: 

I will say that the advertising committee has taken the matter 
up with various cities. They have instructed me to make investi- 
gation over the country as to the sentiment of billboards. We have 
taken forty of the largest cities and we have written the women's 
clubs, Rotary Clubs, Kiwanis Clubs, and boards of trade and asked 
them for their opinion as to the use of billboards not on the high- 
ways but within the city limits, and up to the present time no one 
has objected to the use of billboards in cities. Everybody is in 
favor of billboards in cities, they are all against billboards on high- 
ways. Before that committee will make recommendations they 
will have a complete report on the attitude of people all over the 
country on billboards. 

The matter of green and immature fruit, for so many years a 
problem spot for the Exchange, again plagued the board during the 
1924-25 season. In an effort to curb shipment of green fruit from 
the state as a whole, the Exchange appropriated and utilized a 
$10,000 special advertising fund directed toward all Florida citrus 
interests asking special consideration of businessmen and growers 
in the confining of shipments of fruit from Florida to that fruit 
which would pass the test required by the federal government. 

Another recurring problem, that of insect pests, arose during 
the 1924-25 season and prompted the following resolution: 

Whereas, it has come to the attention of the Board of Directors 
of the Florida Citrus Exchange that some interests are endeavoring 
to change provisions of Quarantine #56, which prohibits the entry 
into the United States, in and through Florida, of various fruits and 
vegetables from other countries, and 

78 



1924-1925 

Whereas, it is the firm belief of the members of this board, who 
represent upwards to six thousand growers of the State of Florida, 
that any changes in the above referred to quarantine law would 
jeopardize the agricultural and horticultural interests of the State 
of Florida, through the possible introduction of dangerous plant 
pests, 

Therefore, the Board of Directors of the Florida Citrus Ex- 
change, in session, this 20th Day of August, 1924, resolves to respect- 
fully request the Federal Horticultural Board to make no changes 
in Quarantine #56 which would tend, in any way, to weaken the 
protection which is now afforded by this quarantine. 

This season, 1924-25, was to see the replacement of many Ex- 
change fruit inspectors by the Federal Inspection Service. A res- 
olution passed by the board on August 20, 1924, required that all 
houses using the seald sweet label accept federal inspection as one 
of the prerequisites for using that label. 

With the continued expansion of the Florida citrus industry, 
and what was at that time a new consumer trend toward packages, 
it became inevitable that the Florida Citrus Exchange become in- 
volved in the many ramifications of citrus fruit containers. Thus 
the board, on August 20, 1924, accepted a proposal extended by the 
FiBOPAK company of Chicago, which would establish within the Ex- 
change a department known as the Consumer Package Division. 
The packages to be used by this department would be exclusively 
designed and produced by the fibopak organization. Under the 
terms of the agreement, the direction and operation of the newly 
created department would be under fibopak jurisdiction, for 
which that firm would conduct promotional campaigns, provide a 
sufficient number of jobbers in each market, employ special dealer 
service personnel to work with this department, and conduct a 
special advertising campaign for Exchange fruit packed in the 
fibopak containers. 

Though the board accepted the terms letter of the fibopak or- 
ganization, there is no further reference to the proposal in the min- 
utes of board meetings during the balance of the 1924-25 season. 
It must be assumed, therefore, that events in the immediate future 
had indefinitely postponed action in this matter. But the arrival 
of new trends in consumer packaging at this relatively early period 
in citrus history is sufficiently interesting as to command notice in 
these writings. 

79 



FIFTY YEARS OF CITRUS 

Other significant happenings of the 1924-25 season are recorded 
here briefly with no attempt to conform to a chronological sequence. 

On September 17, 1924, the board agreed to subscribe to an in- 
surance policy extended by the Insurance Company of North Amer- 
ica, the Automobile Insurance Company, the Fenix Insurance Com- 
pany of Hartford, the Providence-Washington Insurance Company, 
and the Camden Insurance Company for the insurance of the in- 
come of the Florida Citrus Exchange against loss on account of 
freeze. The policy was issued in the amount of $450,000. 

Also on September 17, 1924, the Florida Citrus Exchange unani- 
mously agreed to embark on its first premium program in the form 
of juice extractors which would be distributed on a premium basis 
to consumers throughout the nation. 

The Florida Citrus Exchange, also at this meeting of the board, 
established various grades of citrus fruit to be sold under the seald 
sweet label. They were seald sweet fancy, brights, goldens, or 
bronze. 

The September 17 meeting saw the Exchange go on record as 
favoring shipments of citrus by water and as advising the president 
to take up with each association and explain in detail the arrange- 
ments from packing point to destination, asking their cooperation 
and support for a definite commitment of fruit. 

The organization committee, on October 15, 1924, recommended 
that the Exchange accept the "Dr. Phillips" organization of Orlando 
as a sub-exchange, a recommendation that was favorably considered 
by the board in the light of the more than 500,000 boxes of fresh 
citrus handled annually by the Phillips organization. 

The merger of Standard Growers Exchange into the Florida Cit- 
rus Exchange during the season preceding was rescinded by action 
of the board and the merger was dissolved. 

Although it had been previously required that all fruit labeled 
seald sweet be federally inspected, there were some who strongly 
objected to this. Controversy within the Exchange over the exclu- 
sive use of the Federal Inspection Service by all members of the 
Exchange, rather than on a voluntary basis substituting the Ex- 
change's inspection service where federal service was not used, was 
resolved in a resolution which would bar utilization of the seald 
sweet brand on fruit not undergoing federal inspection. 

On January 21, 1925, a matter which had been brewing for 
many months finally came before the board for action. The board's 

80 



1924-1925 

decision was to become one more milestone in the evolution of the 
organization. That there had been some dissatisfaction with the 
Thomas Advertising Service, agency of the Exchange since its first 
venture into advertising in the 1909-10 season, is apparent from the 
various actions of the board with regard to the administration of 
its advertising program. While no specific reference to the reasons 
for the decline of favor is made in the minutes, there is indication 
that the considerable sums of money being appropriated in this 
period for advertising purposes left board members with some 
doubts as to the capability of the Florida agency. This is apparent 
in the reasons leading up to the employment of a full-time advertis- 
ing director and subsequent authority placed upon this director. 
More and more, the advertising business of the Exchange had be- 
come a matter of direct negotiation between the Exchange's adver- 
tising director and media in a sort of bypass of the Thomas Adver- 
tising Service. Thus, on January 21, 1925, the Exchange allowed 
presentations by three large agencies, finally employing the services 
of Erwin, Wasey and Company, of Chicago, effective at the begin- 
ning of the 1925-26 season. 

Another change in the operational procedure was indicated when 
H. G. Gumprecht, president of the Sub-Exchange Managers' Asso- 
ciation, registered the protest of that group in the manner of hand- 
ling bulk fruit. As the outcome of this protest, the Exchange abol- 
ished the bulk fruit sales department and ruled that bulk fruit sales 
should be handled in the future by the sales department in the reg- 
ular way. 

On April 10, 1925, the Exchange, led by John A. Snively, voted 
to purchase four cars of grapefruit for an export experiment under 
the supervision of Sales Manager George Scott. 

At the close of this season, the Exchange was in possession of a 
voluminous report by its new advertising agency with regard to the 
general operation of the organization and numerous suggestions 
as to how the firm might revise operations and policy to effect great- 
er efficiency in sales. 

Several changes in the composition of the board during the sea- 
son had occurred before the close of the 1924-25 season. In the 
closing months, the board consisted of E. L. Wirt, chairman of the 
board; L. C. Edwards, president; and F. C. W. Kramer, Jr., John A. 
Snively, L. W. Tilden, Walter R. Lee, L. M. Hammel, Homer 
Needles, John S. Cadel, B. F. Welles, R. O. Philpot, A. J. Dozier, 

81 



FIFTY YEARS OF CITRUS 



Vet L. Brown, H. E. Cornell, Lorenzo A. Wilson, R. J. Kepler, Jr., 
C. H. Walker, Edward Parkinson, F. S. Ruth, Josiah Varn, A. C. 
Castle, D. C. Gillett, W. W. Yothers, John S. Taylor, and W. E. Lee. 



82 



CHAPTER 12 



1925^192© 



THE 1925-26 season was to see many chang- 
es take place in both the organizational structure and the policy of 
the Florida Citrus Exchange. These changes were to be mostly 
the direct result of the extensive survey of Erwin, Wasey and Com- 
pany mentioned in the preceding chapter. Probably the most far- 
reaching change, and certainly the most enduring, was the decision 
to re-establish the office of general manager of the Florida Citrus 
Exchange. In other matters, the Exchange's board obviously be- 
gan at this time to flex its muscles in its association with the Florida 
citrus industry. 

Let us first, however, consider the board itself as it was seated 
at the June 2, 1925, annual meeting. Although the complete board 
did not form until later in the month, the names of members cited 
herein represent the board as it eventually took shape later on in 
the year: 

B. F. Stewart of Charlotte County Sub-Exchange, A. E. Barnes 
of Dade County Citrus Sub-Exchange, A. J. Dozier of DeSoto Citrus 
Sub-Exchange, R. O. Philpot of Lake Region Citrus Sub-Exchange, 
H. E. Cornell of Winter Haven Citrus Sub-Exchange, John A. Snive- 
ly of Florence Villa Sub-Exchange, A. V. Anderson of Scenic Citrus 
Sub-Exchange, Vet L. Brown of Polk County Citrus Sub-Exchange, 
L. M. Hammel of Hardee County Citrus Sub-Exchange, F. C. W. 
Kramer, Jr., of Highland Citrus Sub-Exchange, W. J. Ellsworth of 
Hillsborough Citrus Sub-Exchange, W. W. Yothers of Lake Apopka 

83 



FIFTY YEARS OF CITRUS 

Citrus Sub-Exchange, W. W. Raymond of Lee County Citrus Sub- 
Exchange, Josiah Varn of Manatee County Citrus Sub-Exchange, 
R. Lee of Marion County Citrus Sub-Exchange, L. W. Tilden of 
Seminole-Orange Citrus Sub-Exchange, J. S. Cadel of Orange County 
Citrus Sub-Exchange, R. J. Kepler of St. Johns River Citrus Sub- 
Exchange, F. S. Ruth of Mountain Lake Corporation, W. E. Lee, 
special director; D. C. Gillett, special director, J. S. Taylor of Pinel- 
las Citrus Sub-Exchange, Jay Rurns, Jr., of Ridge Citrus Sub-Ex- 
change, H. H. Kellerman of Indian River Citrus Sub-Exchange, and 
Lorenzo A. Wilson of Hardee Citrus Sub-Exchange. 

E. L. Wirt was elected to the presidency and re-elected to the 
chairmanship of the Florida Citrus Exchange. F. C. W. Kramer, 
Jr., was re-elected as first vice-president, John A. Snively as second 
vice-president, L. W. Tilden as third vice-president, and Walter R. 
Lee as fourth vice-president. 

Thus it was that the stage was set on June 2, 1925, for the em- 
ployment of the Exchange's first general manager in many years. 
C. E. Stewart, Jr., who had for many years supervised the staff ac- 
tivities of the Exchange as business manager and secretary had ten- 
dered his resignation and was no longer in the employ of the or- 
ganization. After three executive sessions and several caucuses, 
C. C. Commander, manager of the Polk County Citrus Sub-Ex- 
change, was named to the position of general manager. This action 
helped shape much of the future of the Exchange. It is apparent 
from the minutes that Commander, was, from the very first, in com- 
plete charge of the administrative activities of the organization. 
Action taken at the June 2, 1925, and subsequent meetings during 
this season saw the board placing more and more responsibility in 
the hands of its new general manager, who, with the support of an 
executive committee, became virtually unlimited in authority to act 
on behalf of the board. 

O. M. Felix was named as acting secretary of the organization, 
and subsequent action of the board confirmed his election as secre- 
tary. W. T. Covode was again named as cashier, George A. Scott 
as sales manager, General A. H. Rlanding as production manager, 
E. D. Dow as traffic manager, and John Moscrip as advertising 
manager. Judge William Hunter was again retained as the Ex- 
change's legal counsel. 

One of the first actions of the new board was to reconsider its 

84 



1925-1926 

actions of the previous season with regard to the utilization of fed- 
eral inspectors. Following a motion by John Snively, on June 17, 
1925, that the Exchange use its own inspection service under the 
supervision of its production department in all packinghouses, the 
board voted to discontinue federal inspection service for the 1925- 
26 season. With its executive committee doing spade work on all 
important matters to come before the board, meetings of the full 
board during this period were held less frequently and for the most 
part were confined to either approval or disapproval of recommen- 
dations of its executive committee. 

In retrospect, it seems almost symbolic that the era of C. C. Com- 
mander should have begun only a few days before the citrus in- 
dustry learned of the death of Dr. J. H. Ross, beloved president- 
emeritus of the Exchange. To this writer Dr. Ross symbolized 
the philosophy and hopes and ambitions of the Exchange's first 
fifteen years of struggle against sometimes hopeless odds, while the 
new general manager was to become the "Little General" in the 
Exchange's industrial wars of the new era. 

Recorded in the minutes of the March 17, 1926, meeting is the 
resolution of the Florida Citrus Exchange commemorating the 
death of Dr. Ross. 

Dr. John Harvey Ross 

He is gone. All Florida mourns his passing. 

And well it may. As friend, counsellor, and builder his place 
among the foremost leaders of the state cannot soon be filled. But 
to us, whose privilege it has been to know his companionship, his 
death brings far greater sorrow. We have felt his magnetic person- 
ality, his sincerity of purpose. Business companionship and per- 
sonal friendship have taught us his sterling character. 

Now forever gone from our councils, his absence becomes in- 
creasingly significant of the greatness of our loss. Some comfort 
remains. Though he is no more, the memory of the active man, 
friend and companion cannot be taken from us. The vital benefits 
of his work remain manifest. His example is before us, a fitting 
subject for emulation. 

It is far beyond our power, with the feebleness of the spoken 
word, to express our appreciation of him and his work. Verbal 
expression is too often trivial, common. It is far more proper that 
we dedicate ourselves to the perpetuation of the monument that is 
his achievement. 

85 



F7F2T YEARS OF CITRUS 

Let this action, then, be our appreciation, that the ideals toward 
which he unswervingly strove may be written into an even more 
complete record of accomplishment. 

Thus was commemorated the later life and works of Dr. J. H. Ross, 
Doctor of Cooperative Services, and president-emeritus of the Flor- 
ida Citrus Exchange. 

On March 17, 1926, the board listened to and endorsed a pro- 
posal by C. C. Commander which may well have been the origin 
of the industry's action in later years to establish the Florida Citrus 
Commission. While Commander's proposal cannot be closely par- 
ailed to the commission's, it incorporates the trend of thought out of 
which the commission was eventually fashioned. As a representa- 
tive of the Florida Citrus Exchange and a member of the Fruitmen's 
Club of Florida, Commander told the Exchange board that he 
would offer his proposal to the Fruitmen's Club in the form of a 
motion at its next regularly scheduled meeting. 

The Proposal 

1. That an organization be created and incorporated under the 
laws of Florida for the sole purpose of the financing, formation and 
direction of publicity and consumer advertising of Florida citrus 
fruits. 

2. All memberships in that organization be equally available to 
all citrus shippers of the state. 

3. Finances for the expressed purposes of the organization be 
derived by means of a per box retain, the amount of which may be 
varied from season to season. 

4. Voting power in the organization be on a per box basis; that 
executive power on matters of routine business be vested in a Board 
of Governors. 

5. A subsidiary company be formed for the purpose of develop- 
ing European markets for the overflow of Florida fruit; that this 
subsidiary company will include the development and direction of 
a foreign sales organization to handle fruit furnished by all members 
on a pro-rata basis. 

6. The functioning of this organization will in no way control 
sales policies of individual shippers or organizations, offer sales re- 
sistance, inhibit individual brand advertising or control prices; that 
its purpose be limited to the direction of publicity. 

7. A committee of seven members of the Fruitmen's Club be 
selected to study this proposal as generalized above and discussed 

86 







IRL 




A group of citrus growers posed for this picture in 1898. They were meeting at the 
Tampa Bay Hotel to discuss the problems of an over-abundant four million box Florida 
citrus crop. It was out of a similar discussion that the Florida Citrus Exchange was formed 
eleven years later. 



tijl:.t s 




lip 




k* ,•••■ siiillllipisis ']» 



■ ! 



;;;-... 




fits 



A group of growers, interested in the Exchange, visited the Temple Packing House in 
Winter Park early in 1910 to study the most modern facilities available for packing and 
shipping citrus fruits. 



THE 
"ROARING 

TWENTIES' 




The Florida Citrus Exchange was an early 
The Exchange promoted its brand name subscriber to broadcast advertising, both in 
SEALD SWEET at every opportunity, organizational promotion and in consumer 
seldom overlooking an occasion on which product advertising. The photo above shows 
to combine talent and beauty to boost the a typical Exchange broadcast during the 1920- 
sale of Florida citrus. 21 season. 




^^ot^ lj 



iiit 

iillli illlllt fSliiil,. 



Plllll 

f|i§ 



liiii 



111! 










• 



In lf)2(), demonstration trucks were covering the United States to promote canned grapefruit 
sections. The truck above was stationed in Louisville. 



1925-1926 

in detail on succeeding pages, and draft a report to be presented to 
this body for action at its next regular meeting. 

There is indication in the minutes of the April 13, 1926, meeting 
that the Commander proposal was not accepted in its entirety, but 
the board did authorize its general manager to accept a substitute 
proposition issued by the Fruitmen's Club if such a proposition 
seemed acceptable to him. 

The annual meeting of the board for the 1925-26 season occur- 
red on June 1, 1926. Seated as directors for the 1926-27 board were 
W. O. Talbott of Dade County Citrus Sub-Exchange, A. J. Dozier 
of DeSoto County Citrus Sub-Exchange, B. F. Stewart of Charlotte 
Citrus Sub-Exchange, L. M. Hammel of Hardee Citrus Sub-Ex- 
change, F. C. W. Kramer, Jr., of Highland Citrus Sub-Exchange, 
W. J. Ellsworth of Hillsborough Citrus Sub-Exchange, H. H. Keller- 
man of Indian River Citrus Sub-Exchange, Josiah Varn of Manatee 
County Citrus Sub-Exchange, W. R. Lee of Marion County Citrus 
Sub-Exchange, F. A. Rundle of Orange County Citrus Sub-Ex- 
change, W. W. Yothers of Lake Apopka Citrus Sub-Exchange, H. 
C. Tilden of Seminole-Orange Citrus Sub-Exchange, John S. Taylor 
of Pinellas Citrus Sub-Exchange, Vet L. Brown of Polk County 
Citrus Sub-Exchange, John A. Snively of Florence Villa Citrus Sub- 
Exchange, R. O. Philpot of Lake Region Citrus Sub-Exchange, Jay 
Burns, Jr., of Ridge Citrus Sub-Exchange, A. V. Anderson of Scenic 
Citrus Sub-Exchange, H. E. Cornell of Winter Haven Citrus Sub- 
Exchange, and R. J. Kepler, Jr., of St. Johns River Citrus Sub-Ex- 
change. 

W. E. Lee and F. S. Ruth were subsequently seated as special 
directors as was D. C. Gillett. 

Again elected to the presidency and as chairman of the board 
was E. L. Wirt. O. M. Felix was re-elected as secretary, F. C. W. 
Kramer, Jr., as first vice-president, John A. Snively, as second vice- 
president, H. C. Tilden, as third vice-president, and W. R. Lee, as 
fourth vice-president. C. C. Commander was named general man- 
ager, George A. Scott, sales manager; General A. H. Blanding, pro- 
duction manager; E. D. Dow, traffic manager; John Moscrip, adver- 
tising manager; W. T. Covode, cashier; and Judge William Hunter, 
legal counsel. 



87 



CHAPTER 13 



1926^1927 



THE 1926-27 season was a good one for the 
Florida Citrus Exchange. By the end of the season it had increased 
its percentage of control of the total Florida crop by purely volun- 
tary methods as Exchange results in favorable sales continued to 
mount in spite of serious freezes on January 12 and on January 16, 
1927. These freezes, along with generally cold weather and ex- 
tremely high winds, forced the industry to its knees and more than 
one citrus forecaster saw almost complete breakdown of the in- 
dustry. 

As has been the case until fairly recently, frozen fruit was ship- 
ped to market in large quantities. In the words of C. C. Command- 
er, "Customers who used to swear by Florida citrus are now swear- 
ing at us." Nonetheless, by May 10, 1927, the Florida Citrus Ex- 
change had shipped 12,417 cars of citrus to market, a volume that 
was estimated at slightly over 30 per cent of the total Florida crop. 
And up until that date, the Exchange had returned to its associa- 
tions more than $9,000,000 and predicted that this total would be 
increased by another $1,500,000 before the season's end. 

Even though the Exchange was one of the few organizations that 
discontinued shipment of fruit immediately following the freezes, 
its record for the season was extremely good. The board adhered 
strictly to a policy of doing everything possible to sustain the repu- 
tation of Exchange brands. On the whole, it would appear to the 
writer that the efforts of the Exchange in maintaining its grade were 

88 



1926-1927 

successful. There seems to be little question that seald sweet held 
its reputation for careful efficient grade and pack in the nation's 
major markets. 

It is interesting to note that more than 50 per cent of the Ex- 
change's sales during the 1926-27 season were private, with about 42 
per cent of the total tonnage going into fruit auctions at terminal 
markets. The marketing of low grade, bulk fruit, and nonstandard 
varieties not regularly handled by the sales department presented 
during this season unusually difficult problems, which resulted in 
the establishing of a new department within the sales department 
to dispose of the fruit. Although this operation posed special prob- 
lems, it is apparent that the new setup was fairly satisfactory to 
the board. 

During the 1926-27 season, the Exchange made its first major 
strides toward export shipments of sufficient volume to make an im- 
pression on the total Florida citrus crop. Several proposals by the 
Exchange for the organization of an export association representing 
all Florida shippers in export matters were apparently rejected by 
the rest of the industry. The Exchange, feeling that the sales pos- 
sibilities of European markets were too great to overlook, proceeded 
to promote and exploit its seald sweet brands on foreign markets. 
Nine countries in Western Europe were entered by seald sweet 
grapefruit during this season, including markets at London, Liver- 
pool, Birmingham, Manchester, Newcastle, Hull, Hamburg, Copen- 
hagen, Antwerp, Paris, Glasgow, Rotterdam, Cardiff, and Oslo. 

Promotionally, papers still on file from this era indicate that the 
Exchange conducted exceptionally successful publicity campaigns 
to support its export program. With the advent of the great in- 
fluenza epidemic in Great Britain during this season, publicity stor- 
ies featuring the value of grapefruit for "flu" were released and 
widely printed by European newspapers. In the words of C. C. 
Commander: "The effect of this work was all that could be ex- 
pected, on the part of the trade as well as the consumer. It is 
conservative to say that $100,000 would not have purchased the 
advertising value of these news articles." 

The 1926-27 season also produced much activity in the matter 
of marking the Exchange's brand, seald sweet, on each piece of 
fruit. By the end the season, the board received a report from its 
general manager indicating that while there was general agreement 
that the marking of fruit had become a necessity, the mechanical 

89 



FIFTY YEARS OF CITRUS 

problems of accomplishing this had not been surmounted. Some 
houses had received good results from a marker known as the Hale 
machine, but others had not been able to use this particular type. 
Testing was under way, however, on an Ahlberg machine which ap- 
peared to most experts to be of superior advantage, 

Staff members of the Exchange had been instructed by the board 
early in the season to work with Commissioner of Agriculture Nath- 
an Mayo to obtain passage of whatever laws were felt necessary 
for the benefit of the industry. Proposals favored by the Exchange 
for legislation were prevention of the use of arsenic sprays and of 
the shipment of frost-damaged fruit, provision of a strengthened 
green-fruit law, and passage of an act to standardize the grades of 
citrus leaving the state. 

A review of citrus legislation passed during this season indicates 
that a law was passed by the legislature preventing the use of ar- 
senic compounds in insecticides. A law was passed which would 
efficiently control the frozen fruit situation, and reconsideration of 
the green-fruit law led the legislature to extend the period of its 
coverage until December 1. 

With regard to standardization of grades, General Manager C. 
C. Commander, in his annual report to the Board, said: 

Much as a standardization act was needed, other operators in 
the state were not favorable to it. 

A proposal to obtain a law providing certain maturity tests for 
tangerines was also turned down by the Fruitmen's Club. The 
failure of other operators to support these two phases to promote 
the industrial welfare of citrus, together with similar flat refusals 
of other important factors such as the state-wide advertising cam- 
paign, the export association, etcetera, leads this office to question 
seriously the value of this organization to the industry and to the 
state. The Fruitmen's Club has not functioned in the successful 
solution of any major Problem which has faced the industry in the 
past. 

Not much space has been devoted in this history to the consid- 
erable criticism of the Exchange by outside interests, or to the 
sometimes violent industrial wars which raged throughout the in- 
dustry during the years that followed the organization of the coop- 
erative. The increasing fury of these wars, however, necessitates 
consideration of their existence. In this regard, we quote from the 
general manager's report of the 1926-27 season: 

90 



1926-1927 

Organization work has been continued on the basis of offering 
growers an efficient service to handle their product. The lurid 
revival campaign method, which, when the excitement dies down, 
leaves growers cold and possibly resentful of having been forced to 
sign under pressure has neither been used nor is it contemplated. 

During the past season, the Exchange has had the worst com- 
petition in years. And by "worst" is meant all that the word implies. 
This, however, is a good omen. It is in itself evidence of the fact 
that the work being done by the Exchange is bringing results and 
depriving our competition of volume. It is the hit dog which yelps. 

We have made consistent gains in nearly all territories. It is 
believed that, as the organization reaches a point where it is able 
to select members instead of proselyting them, it will have a much 
more stable membership. 

The season has been a hard one for all concerned. Under exist- 
ing conditions, growers are not satisfied, but this office believes 
that the morale of Exchange growers is better than that of any other 
operator. Much fruit has been signed by the Exchange which was 
not in the Exchange last season. In addition, federal officials are 
very friendly to cooperation, advocating and giving assistance in 
every way possible to get greater efficiency in cooperative organ- 
izations. 

The state press has been keenly alive to the situation. Every- 
where, editors evidence a grasp of the* problem, and with very few 
exceptions, see grower cooperation as the only solution. 

As a result, the year passed has shown gains in the whole field 
of cooperative marketing, with the greatest advances made in de- 
velopment of quality standards which, while less noticeable than 
quantity of volume, is much more sound and lasting in its effects. 

In its advertising program for the 1926-27 season, the Exchange 
concentrated on three major objectives: the increase of consumption 
and demand for all citrus, the creation of a preference for Florida 
citrus, and stimulation of a recognition on the part of both the trade 
and the consumer for seald sweet as Florida's finest fruit. 

The program was created, directed, and placed by the Ex- 
change's advertising department under John Moscrip and the Er- 
win, Wasey and Company advertising firm, one of the largest agen- 
cies of its type in the nation at that time. Magazines of both gen- 
eral and specific nature were used as the basic media. From the 
media reports of this time it would appear that general copy was 
placed in Good Housekeeping, Woman's Home Companion, and 

91 



FIFTY YEARS OF CITRUS 

American Magazine. To reach what must have been a fairly well- 
defined audience with special copy requirements, the Exchange 
relied on Physical Culture Magazine. Life and Judge were used to 
stimulate the use of seald sweet citrus juice by the large, inviting 
cocktail and alcoholic beverage market. Total circulation of the 
magazines used by the Exchange during this period was nearly 
6,000,000 per month. It was the policy of the Exchange to supple- 
ment and strengthen this use of magazines with more localized ad- 
vertising in newspapers where it was felt that this would be to a 
decided advantage. 

Probably one of the most important functions of the advertising 
department at this time was the maintainance of dealer service 
crews operating out of New York, Chicago, Cincinnati, Detroit, and 
Boston. In addition to these field teams at work in the United 
States, the Exchange also conducted a similar program in Great 
Britain. A rather complete report of the activities of dealer service 
crews during the 1926-27 season indicates that more than 5,926 re- 
tailers and 243 jobbers were interviewed during the period. Two 
hundred and twenty-one seald sweet window displays were in- 
stalled in addition to the distribution of 58,179 individual pieces of 
seald sweet display material. Seventy-six markets in the United 
States and twelve in Europe were entered by Exchange dealer ser- 
vice men during the season. 

The following extract from a report by General Manager C. C. 
Commander to the board of directors in May, 1927, cogently char- 
acterizes the advertising program for the 1926-27 season: 

The advertising activities of the Exchange have been effective 
as far as they have gone. It is readily evident, however, that to do 
the job for the industry which advertising alone can do, far more 
advertising than the Exchange can now support is necessary. One 
method of obtaining this increase would be by means of a state- 
wide citrus campaign supported by a tax on at least 75 per cent of 
the fruit. This can be obtained at present only through the coopera- 
tion of other operators. This cooperation, as is evidenced by the 
action of a year ago, is not available. 

Other promotional undertakings by the Exchange during the 
season included a premium program involving a new type of juice 
extractor which has been mentioned in earlier chapters. By the 
close of the 1926-27 season, the extractors were in the homes of 

92 



1926-1927 

16,324 consumers. A financial report with regard to the extractors 
indicated that the premium department, which had started with an 
outlay of the year prior of $25,000, had cut its deficit from $34,900 
to less than $4,170 by the close of this season. 

A report of the premium promotion at the close of the season 
indicated that virtually all extractors placed had gone into pri- 
vate homes, although a few had been placed for fountain use. 
Nearly 25 per cent of the total placements of the extractors had gone 
into citrus-producing areas. Continuing, the report said in part that 
"distribution principally is this country, yet it can be safely said 
that the sun always shines on the seald sweet extractor. It is in 
use in every state and territory of the United States. Extractors 
will be found in England, Ireland, Scotland, France, Italy, Spain, 
and other European countries. Japan recently began their use. 
Practically every country in the South and Central Americas has 
some of them in operation. Remote, frost-bitten northern Alaska 
and Cape Town, the southern extreme of Africa, enjoy its use. In 
effect, the extractor is functioning as an advance agent of the seald 
sweet brand. Each extractor bears the stamp seald sweet and in 
this is a medium of introduction and a continuous silent salesman 
for our brand." 

The Exchange's traffic department also had an active year dur- 
ing the 1926-27 period. From September 1, 1926, to May 1, 1927, 
a total of 2,046 claims amounting to $55,075.90 were collected for 
Exchange growers by the traffic department. The Exchange par- 
ticipated in the operations of the Growers and Shippers League 
during this season. E. D. Dow, traffic manager, had been for some 
time a member of the executive committee of the League, and rec- 
ords indicate that the Exchange had contributed a large share of 
the funds with which the work of the League was continued. 

A note from the production department indicates concern in 
Florida regarding the growing Texas grapefruit production. A 
table apparently produced by the production department showed 
that Texas was steadily making headway and was soon to become 
an important grapefruit producer. The table indicates that in the 
grapefruit-producing areas, including Florida, Texas, California, 
Puerto Rico, and Arizona, a non-bearing acreage amounted to 
nearly one-half the total citrus acreage. This fact was felt to be 
of extreme importance to Florida, for it was seen as an indication 
of the increasing competition for grapefruit markets. 

93 



FIFTY YEARS OF CITRUS 

The Growers Loan and Guaranty Company, which had by now 
been in operation for several years, lent well over $1,000,000 to 
Exchange growers during the 1926-27 season, and made what it 
felt to be satisfactory connections with Northern banks with which 
the Florida Citrus Exchange did business at the time. 

A brief report of the Exchange Supply Company at the close of 
the season had this to say: "The Exchange Supply Company, also 
a subsidiary of the Florida Citrus Exchange, functions as a pur- 
chasing agent for associations and packing houses. It has contin- 
ued its liquidation of holdings and is in excellent shape." 

With regard to the canning of grapefruit, it will be remembered 
that the Exchange had led the way in the establishment of canning 
facilities for this purpose. This is what the situation looked like at 
the close of the 1926-27 season, according to a paper on record 
with reference to this matter: 

The canning of grapefruit has developed into an industry of 
considerable importance. Not only is it becoming vital to the fresh 
fruit sale of citrus in that it removes from the box-lot market off- 
size, off-color fruit which would tend to bring down the prices of 
fresh fruit, but it is also obtaining for Florida grapefruit a distribu- 
tion which could not otherwise be obtained. It is in this latter 
respect an excellent forerunner for the stimulation of demand in 
the creation of new consumers. 

Four canneries operated during the season 1923-24 to use 98,986 
field boxes of grapefruit. During the season just completed (1926- 
27) thirteen canneries used 533,826 boxes of grapefruit — over 500 
per cent increase in four seasons. Five new canneries are now un- 
der construction and, it is understood, will be ready for operation 
next season. 

If the quality of the product is maintained by the executives 
directly concerned with the production of canned grapefruit, a very 
bright future is in store for this industry. It is not unreasonable 
to assume that within a comparatively few seasons, the canning 
industry will be developed to such an extent that it will take from 
25 to 33 per cent of the Florida grapefruit crop. 

The canneries paid about 50 to 55 cents per box for culls and 
from 70 to 85 cents per box for choice fruit at the packing house. 
Large sizes were in demand. 



94 



CHAPTER 14 



1927^1928 



THE ANNUAL meeting of the board of 
directors, Florida Citrus Exchange, for the 1927-28 season was held 
on June 7, 1927. 

Credentials of individual members of the board were read, and 
board members were seated as follows: W. O. Talbott of Dade 
County Citrus Sub-Exchange, A. J. Dozier of DeSoto County Citrus 
Sub-Exchange, B. F. Stewart of Charlotte Citrus Sub-Exchange, L. 
M. Hammel of Hardee Citrus Sub-Exchange, F. C. W. Kramer, Jr., 
of Highland Citrus Sub-Exchange, W. J. Ellsworth of Hillsborough 
Citrus Sub-Exchange, H. H. Kellerman of Indian River Citrus Sub- 
Exchange, Josiah Varn of Manatee County Citrus Sub-Exchange, 
J. C. Merrill of Marion County Citrus Sub-Exchange, F. A. Rundle 
of Orange Citrus Sub-Exchange, W. W. Yothers of Lake Apopka 
Citrus Sub-Exchange, H. C. Tilden of Seminole-Orange Citrus Sub- 
Exchange, John S. Taylor of Pinellas Citrus Sub-Exchange, Vet L. 
Brown of Polk County Citrus Sub-Exchange, John A. Snively of 
Florence Villa Citrus Sub-Exchange, R. O. Philpot of Lake Region 
Citrus Sub-Exchange, Jay Burns, Jr., of Ridge Citrus Sub-Exchange, 
C. H. Walker of Scenic Citrus Sub-Exchange, H. E. Cornell of the 
Winter Haven Citrus Sub-Exchange, and R. J. Kepler, Jr., of St. 
Johns River Citrus Sub-Exchange. H. G. Putnam was subsequently 
seated from Indian River Citrus Sub-Exchange. 

Special directors for the 1927-28 season were W. E. Lee, F. S. 
Ruth, W. J. Howey, D. C. Gillett, and M. G. Campbell. 

95 



FIFTY YEARS OF CITRUS 

At the organizational meeting of the new board, E. L. Wirt was 
re-elected to the presidency and as chairman of the board, O. M. 
Felix was elected as secretary, F. C. W. Kramer as first vice-presi- 
dent, John A. Snively as second vice-president, H. C. Tilden as 
third vice-president, and C. H. Walker as fourth vice-president. 

Pursuing a course that was to be followed for many years, C. 
C. Commander was re-elected by the board to serve as general 
manager. Other staff re-elections included George A. Scott as sales 
manager, A. H. Blanding as production manager, E. D. Dow as 
traffic manager, John Moscrip as advertising manager, and W. T. 
Covode as cashier. 

One interesting action at this meeting was the reading of a reso- 
lution prepared and submitted to the Exchange by the Bradenton 
Citrus Growers Association. The resolution was as follows: 

Whereas it is common knowledge that it has been the custom 
of many growers in the past to use the Florida Citrus Ex- 
change as a tool in their dealings with speculators negotiating for 
their crops, and 

Whereas the said growers knowing full well that they could 
avail themselves of the privilege of membership in the Florida 
Citrus Exchange at any time, have withheld joining the Florida 
Citrus Exchange until all negotiations with speculators have failed, 
or, said growers were successful in disposing of their fruit to the 
said speculators, and, 

Whereas the Florida Citrus Exchange has played the go- 
between and has been the goat long enough, therefore, 

Be it resolved that the Bradenton Citrus Growers Association 
put itself on record as condemning such practices and will not re- 
ceive new members after September 1st, of each year, except own- 
ers or agents of newly acquired groves, provided this can be made 
a statewide movement, and we urge the Florida Citrus Exchange 
to use every effort to make this a statewide movement. 

Done by the Bradenton Citrus Growers Association at their 
annual meeting held on May 3, 1927. 

(Signatures) W. J. Sanborn 
A. O. Kirkhuff 

The resolution was not acted upon at this meeting, nor is there 
indication in the records of later meetings that it was acted upon in 
any way. 

In September, 1927, the Exchange entered into discussions with 
a firm known as Liquid Dehydration Corporation of Chicago, with 

96 



1927-1928 

regard to the dehydration of citrus fruits into a powder. While 
some disagreement existed between the Exchange and the dehydra- 
tion firm concerning the scope of research and the responsibilities 
of the Exchange, records indicate that the Exchange finally agreed 
to provide fruit for this purpose and to conduct tests within the in- 
dustry on the potential of the finished powdered product. 

The advertising budget for the 1927-28 season was placed at 
$208,000, and included expenditures for trade-paper, magazine, and 
newspaper media advertisements as well as for display materials, 
dealer service activities, and a Florida advertisement program de- 
signed to obtain a favorable press and to secure additional tonnage 
for the Exchange. 

The Exchange also ventured into the preservative dip process in 
an effort to extend the shelf-life of fresh citrus. Under an arrange- 
ment finally extended to the Brogdex Company, Exchange packing- 
houses began to use a borax solution dip under a per-box charge 
for the use of that firm's patented process. 

It has been mentioned in preceding pages that the Exchange, 
through its rapid development into what was the most important 
single element of the industry at this time, was on many occasions 
in direct conflict with other factions. The 1927-28 season was a 
period of such conflict, triggered generally by the efforts of the in- 
dustry to establish a citrus clearing house through which the con- 
trol of distribution by volume shipments and market allocations, as 
well as a standardization of grade and pack, could be accomplished, 
and a general commodity advertising campaign for all Florida citrus 
could be developed. 

A verbatim report of Exchange policy and feeling by General 
Manager C. C. Commander presents clearly some of the difficulties 
of these times. His report is as follows: 

There are other factors of development which are important, 
but dovetail into these fundamentals. Of these lesser points, con- 
trol of prices and development of foreign markets are perhaps the 
most important. 

In its work to bring about these conditions in the Florida citrus 
industry which would react in favor of the citrus grower, the Florida 
Citrus Exchange has long recognized these fundamentals as the 
first steps necessary. It has adopted and continually used them in 
its own organization. To be effective, however, such principles of 
control must be applied to at least 75 per cent of the total volume 

97 



FIFTY YEARS OF CITRUS 

rather than to the 39 per cent which is controlled by the Exchange. 

The adoption of such a merchandising program for that volume 
controlled by other operators in the industry has presented an al- 
most insurmountable task. Many plans having this end in view 
have been formulated and variously supported by those both within 
and without the industry. Some of these have had their origin in 
purely selfish business reasons. Others have been sincerely de- 
signed to be of benefit. 

Perhaps the first of these plans was what is now known as the 
Jardine Clearing House plan. It originated outside of immediate 
citrus circles and obtained definite headway when Mr. Mayo, Flor- 
ida Commissioner of Agriculture, and Mr. Jardine, United States 
Commissioner of Agriculture, called a meeting of all operators in 
the industry in Washington on June 13, 1927. In this meeting, Mr. 
Jardine discussed his ideas of a plan which would solve many of 
the difficulties facing the Florida citrus industry. Mr. Tenney, a 
subordinate of Mr. Jardine, gave the latter's ideas a definite form, 
which he later presented to a meeting of the Fruitmen's Club in 
Florida. 

Independent operators having failed to obtain recognition for 
their plan, it became necessary for the Exchange to lay the facts 
before the public as to just what had happened with regard to the 
Jardine Clearing House plan. Such action became necessary to 
counteract propaganda which sought to lay the blame for failure 
of the Jardine proposal upon the Florida Citrus Exchange. This 
was done in a full-page advertisement circulated throughout the 
citrus belt. 

Thus the first plan to coordinate shipping interests on a common 
platform for the good of the industry ended in failure in January. 
Independent operators refused to join an organization which would 
regulate their actions for the common good of the industry and 
which provided penalties for non-performance. 

While the Jardine plan was still alive, awaiting endorsement of 
the operators in the industry, the bankers of the state met and dis- 
cussed the possibility of the development of some plan whereby the 
united action of the banks of the state might bring about those 
changes in the marketing machinery which were necessary. This 
action met with considerable approval through the state press, and 
for a time it was hoped that some accomplishment might be made. 
It was finally decided by them, however, that such progress was 
being made on the Jardine plan by those actively engaged in the 
industry that any work on the part of the bankers was unnecessary. 
The bankers, as a group, thus made no progress with the situation. 

98 



1927-1928 

Following the failure of the Jardine plan and the refusal of the 
Florida Citrus Exchange to endorse the dummy clearing house, 
the committee of the Florida Citrus Exchange continued its nego- 
tiations with the Fruitmen's Club with instructions to work with 
independent operators to form a true clearing house along the lines 
originally proposed and endorsed by the United States Government, 
or to form a trade association which would function as such. The 
latter was finally accomplished and the Florida Citrus Trade Assoc- 
iation, Inc., was formed. This organization was to be purely infor- 
mative and had no powers whatever other than advisory. Although 
not functioning, it is at this time in existence. 

About the middle of January, the Florida State Chamber of 
Commerce appointed a committee to investigate the citrus situation 
in detail. It was to formulate a plan offering the solution to the 
difficulties they found and to submit this plan for approval and 
adoption to growers and operators in the state. This committee 
was composed of Walter F. Coachman, Sr., of Lake Placid and 
Jacksonville, chairman; Dr. Burdette G. Lewis of Penney Farms; 
Edward W. Lane, Jacksonville, and J. A. Griffin, bankers; Joe H. 
Gill, Miami, vice-president of the Florida Power and Light Com- 
pany, and Dr. H. Harold Hume of Glen St. Mary, a horticultural 
expert. 

Meetings were held by this committee in Orlando, Tampa, 
Jacksonville, Palm Beach, and other cities in the state at which the 
views of all leaders in the industry were heard. After gathering 
this information over a period of four to six weeks, the committee 
then announced that it would make its report at an early date. 

Before this report was made, several growers in Polk County 
conceived the idea of taking the burden of obtaining support for 
the original merchandising fundamentals provided for in the Jar- 
dine plan into their own hands. They formed at Winter Haven on 
February 14th what has been called the Committee of Fifty. Judge 
Allen E. Walker was elected temporary president with a board 
of directors also temporarily in office to assist him in the organiza- 
tion plans. After considerable discussion, this committee decided 
that a clearing house set up for the same purposes provided for in 
the original Jardine plan along practically the same lines of organ- 
ization was desirable and practical. The charter, bylaws, growers' 
and shippers' contracts of the organization were prepared by at- 
torneys of the Federal Department of Agriculture before the com- 
mittee started out to get the necessary grower and operator support. 

The committee obtained the services of Mr. Merton L. Corey and 
began an intensive organization campaign that is still under way. 

99 



FIFTY YEARS OF CITRUS 

The Florida Citrus Exchange was asked to endorse this plan. 
After carefully considering the charter, bylaws, and contracts of 
the Clearing House organization proposed by the Committee of 
Fifty, the Executive Committee on April 24th committed the Flor- 
ida Citrus Exchange as a body to the support of this Clearing House 
on condition that 30 per cent of the fruit of the state other than 
that controlled by the Florida Citrus Exchange would be signed 
with the organization by July 10, 1928. 

It was later deemed advisable for the committee to sign Ex- 
change growers individually rather than have them brought into the 
Clearing House organization as a unit. In order that this work of 
the committee might progress smoothly and without interruption, 
the various legal and technical difficulties inherent in this plan 
were swept away by the Executive Committee in its meeting on 
Wednesday, May 9th. 

At this meeting the Exchange Committee decided to sign a 
shipper's contract with the Committee of Fifty organization. This 
action would permit the Exchange to handle not only the fruit of 
its growers who were signed individually, but also those who did 
not sign. Thus, in either event, our growers would be protected. 

This matter was placed in a sub-committee's hands for execution 
and the shipper's contract was formally signed May 12th. 

The Exchange thus announced its position. It was entirely con- 
sistent with its constant endeavor to bring into action a plan where- 
by the merchandising fundamentals originally outlined might func- 
tion for the benefit of all citrus growers. 

Thus, the Florida Citrus Exchange had committed itself to the 
support of the Clearing House idea during the 1927-28 season. In 
retrospect, today's citrus industrialist can find that the Clearing 
House idea is based perhaps too much on the presumption that 
Florida growers and operators would cooperate to the degree re- 
quired for success in such an undertaking. 

All available information on the subject of the Clearing House 
plan seems to indicate that the Exchange exerted every effort to 
assure its success. One factor is apparent. If the required grower 
support for the Clearing House was obtained, it would become 
necessary for independent operators to join the movement. This 
would then provide the industry some possibility of effective opera- 
tion along the merchandising lines so much sought by the Exchange 
at that time. 

In other respects the Exchange could also find great advantage 

100 



1927-1928 

in the Clearing House plan. Relieved of its expensive commodity 
advertising campaign which had been conducted for so many years, 
the Exchange would then be in position to spend more of its funds 
on direct brand advertising and on brand promotions. 

It is conceivable, too, that the Exchange felt at the time that if 
the Clearing House idea failed, enough sympathy would have been 
created for the idea that the possibility of expanding its own facili- 
ties into a Clearing House sort of organization would have been 
extremely good. 

As for the 1927-28 season itself, there is every reason to believe 
that the Exchange looked upon it as a good year. Returns were 
satisfactory and the cooperative secured favorable prices for its 
growers. Although some areas of the citrus belt were struck by 
extremely cold weather, and although some frozen fruit was again 
shipped to the market, considerable optimism is apparent in various 
publications recorded at that time. 

Competitive conditions apparently remained about the same as 
for the season before. Nonbearing acreage of Texas, Arizona, and 
Puerto Rico had increased and, in the words of Commander, were 
"one season nearer to the addition of its volume to the American 
market." 

During the 1927-28 season, the Exchange placed 58.2 per cent 
of its fruit in private sales channels and sold slightly over 40 per 
per cent at auction. Generally, Exchange growers received prices 
higher than growers shipping through independent handlers, as is 
apparent from a record of auction prices realized during the sea- 
son. 

One board member considered tactics of Exchange competitors 
to be somewhat less than fair during the season. "Competition, 
especially in private sale markets," he said, "has been not only keen 
but difficult because of the tactics employed by some of our com- 
petitors. In spite of the fact that it has been a sellers' market and 
volume considerably short of supply, many of our competitors con- 
tinued their old practice of selling below sales quotations and wire, 
as usual, If Exchange sells for blank dollars, offer our fruit 25 cents 
less/ " 

In advertising, the Exchange was forced to cancel a considerable 
percentage of its original program scheduled for this season be- 
cause of freezes. Dealer sales work in Europe was continued with 

101 



FIFTY YEARS OF CITRUS 

fifteen European markets entered into and thoroughly worked by 
the Exchange representative in Europe. 

A letter on file in the official record of minutes, dated December 
17, 1927, with regard to Traffic Manager E. D. Dow, is suggestive 
of the prestige enjoyed within the industry by the Florida Citrus 
Exchange. Written by Frank Kay Anderson of the Citrus Industry 
Magazine, the letter was directed to the general manager and asked 
that Traffic Manager Dow be permitted to submit himself as a candi- 
date for election to the Florida Railroad Commission. "In addi- 
tion to his undoubted qualifications for the post, Mr. Dow is pos- 
sessed of a record and certain personal attributes which would be 
substantial assets to him as a candidate. Among our Florida per- 
ishable traffic men, he is the one logical candidate whose election 
should be most easily obtained," wrote Anderson. 

A subsequent entry in the minutes placed the Exchange on rec- 
ord as declining the request, an action obviously designed to es- 
tablish a precedent in matters of this nature. 

The 1927-28 season was completed with the annual meeting on 
June 7, 1928. Directors and their sub-exchanges seated at this 
meeting were John A. Snively of Florence Villa, B. F. Stewart of 
Charlotte, W. O. Talbott of Dade, A. J. Dozier of DeSoto, L. M. 
Hammel of Hardee, F. C. W. Kramer, Jr., of Highland, W. J. Ells- 
worth of Hillsborough, Homer Needles of Indian River, W. W. 
Yothers of Lake Apopka, R. O. Philpot of Lake Region, Josiah Vara 
of Manatee, Walter R. Lee of Marion, F. A. Rundle of Orange, Vet 
L. Brown of Polk, Jay Burns, Jr., of Ridge, C. H. Walker of Scenic, 
H. C. Tilden of Seminole-Orange, J. E. Bartlett of St. Johns River, 
H. E. Cornell of Winter Haven, and John S. Taylor of Pinellas. W. 
E. Lee and F. S. Ruth were seated as special directors. 

E. L. Wirt was again elected as president and chairman of the 
board, O. M. Felix as secretary, F. C. W. Kramer as first vice-presi- 
dent, John A. Snively as second vice-president, H. C. Tilden as 
third vice-president, and C. H. Walker as fourth vice-president. C. 
C. Commander was re-elected as general manager, George A. Scott 
returned as sales manager, A. H. Blanding as production manager, 
E. D. Dow as traffic manager, John Moscrip as advertising mana- 
ger, and W. T. Covode as cashier. Judge William Hunter was 
subsequently reappointed as legal counsel for the Exchange. 



102 




... :■"■ ': S ■• " 

. -¥' * rj^l |||p !S!|| - 1 Sq§ * Kitlt *| fe||p|: I - ! ' 

1 3S 11 : }a MS , 



w 



^^ft 



I H Left, the Citrus Exchange Building 

in 1922 was the very latest in modern 
ofBce buildings. It was to house the 
Exchange for many years before the 
organization's growth required addi- 
tional quarters. In the heart of down- 
town Tampa, the building is now 
occupied by Maas Brothers, Inc. 




The Packing House, above, was typical of Exchange houses at the beginning 
of the 1929-30 season. 

The old Eagle Lake Packing House, below, was converted into Florida's first 
processing plant for grapefruit sections. First pack of sections was made during 
the 1921-22 season; however, the photo predates the conversion of the house to 
a processor facility. 














One of the many guard posts established in 1929 to prevent movement of citrus out of areas 
infested by the Mediterranean Fruit Fly. 






i 



w 







*vv> <\i 



Governor John W. Martin, staff and party, are shown as they visited the Winter Haven Citrus 

Growers Association in 1927. 



CHAPTER 15 



1928^1929 



IN SPITE OF the freezes and storms that 
had periodically plagued the Florida citrus industry through the 
years, the 1928-29 season was more memorable because of adver- 
sities than any season on record until that time. 

On Saturday, April 6, 1929, J. C. Goodwin, nursery inspector of 
the State Plant Board, noticed what he thought to be unusual spots 
in grapefruit which came from the grove of the United States De- 
partment of Agriculture Experiment Station. Upon examination 
he found maggots which were different in appearance from those 
normally found in decayed fruit. He immediately forwarded a 
specimen to Washington for positive identification. 

Washington's reply was prompt. It was the larvae of the Med- 
iterranean fruit fly. The Exchange, along with every other handler, 
grower, and shipper in Florida immediately became involved with 
an enemy possessed of the capability of wrecking the entire Florida 
citrus industry. Eradication forces were organized under the direc- 
tion of Dr. Wilmon Newell, plant commissioner. Quarantine regu- 
lations were drafted and placed in operation by the United States 
Department of Agriculture, and State Plant Board inspectors troop- 
ed through every grove in the state to search out additional infes- 
tations. Infested fruit was destroyed by the ton. By May 20 a so- 
called nine-mile-Hmit area quarantine had been placed in effect 
surrounding each infested area of the citrus belt. Guards and in- 
spectors had established effective posts to prevent the movement 

103 



FIFTY YEARS OF CITRUS 

of citrus out of the infested areas. Meantime, the federal govern- 
ment rushed a legislative measure through both houses of Congress 
placing $4,250,000 at the disposal of state authorities. Florida ap- 
propriated another $500,000 and offered more if the need arose. 

As states in the South and West closed their borders to Florida 
citrus in fear of the spread of the fruit fly into their large agriculture 
areas, economic consequences were apparent. In the expectation 
of a more general quarantine on all Florida citrus, scores of ship- 
pers began glutting the markets with their fruit without regard to 
market capacity. 

As this situation intensified, General Manager C. C. Commander 
warned Exchange members of the drastic break in prices which 
was sure to follow such a glut. The Exchange, acting on the spur 
of the moment, promptly secured cold-storage facilities for a large 
part of its tonnage and simply "rode out the break in prices." The 
trend toward lower prices reversed sharply as additional quaran- 
tine action was placed in operation and, as quickly as the glut had 
occurred, a sudden shortage saw the Exchange releasing much of 
its stored fruit at favorable prices. Reporting later to the board 
on this matter, Commander said, "This plan, developed and placed 
in operation practically overnight, was more than moderately suc- 
cessful. It is one which is worthy of the careful consideration of 
other operators. Coordinated action on this plan would save many 
market depressions caused by excessive volumes during any average 
season." 

From this viewpoint, while not denying the seriousness of the 
Mediterranean fruit fly, various Exchange officials pointed out that 
some favorable aspects were resulting from the situation. Certain- 
ly groves would be more carefully inspected and cared for, and 
licensing of packinghouses, it was felt, would result in greater 
standardization and control. Finally, the shipments of bulk fruit 
which had caused serious handicaps in the profitable sale of boxed 
citrus had been eliminated under the quarantine regulations. 

The drastic embargoes placed on shipment of Florida citrus into 
other states would, in all probability, serve to force a much more 
rapid development of methods of distributing the fruit parts or 
its juices in a prepared and more nonperishable form. By this 
time, grapefruit sections had been successfully packed and distri- 
buted for a number of years with ever-increasing volume. Even 
canned grapefruit juice was gaining in popularity. There was also 

104 



2928-1929 

a form of orange concentrate being sold for use by soda fountains, 
bakeries, and other institutional use, but, as one Exchange official 
remarked at the time "the dissimilarity between the fresh fruit and 
this concentrated product greatly limits its commercial importance. ,> 

Thus, the Mediterranean fruit fly played its role in the develop- 
ment of the Florida citrus industry by posing problems that were 
to be answered only by research and unselfish industrial progress. 
Distribution of preserved citrus products was a natural solution to 
the embargo difficulties of that era, and the Exchange commenced 
work immediately on several experiments of this nature. 

In addition to the fruit fly, several other adversities combined 
to make the 1928-29 season one of the most difficult the industry 
had ever faced. Prior to the discovery of the fly, the greatest single 
factor taxing marketing agencies at the time was the exceptionally 
large crop of citrus fruit produced and shipped to domestic mar- 
kets. The combined production of citrus areas feeding American 
markets reached more than 60,987,330 boxes. Of this total, Cali- 
fornia produced a little more than 60 per cent, and Florida produced 
slightly over 30 per cent. Texas, Arizona, Alabama, Louisiana, and 
Puerto Rico combined to ship the remainder of the total. 

The total of 60,967,330 boxes of citrus shipped to domestic mar- 
kets during the season was 33.8 per cent greater than that of the 
1927-28 season, and 19.1 per cent greater than the previous large 
production season of 1923-24, when markets consumed a total of 
48,102,680 boxes. 

The marketing situation was also apparently further involved 
in adversity for Florida because of the relatively poor quality of 
the season's production. Then, too, the rise of the commercial 
standing of Texas grapefruit was evidently beginning to be of con- 
sequence to Florida. For the first time, successful distribution of 
Texas fruit on a large scale was beginning to take over markets 
which had heretofore been exclusive for Florida grapefruit. To 
make matters worse for Floridians, the quality of the Texas product 
was in no way inferior to that of Florida producers. Of further 
concern was the fact that only an estimated 11 per cent of the es- 
timated 83,500 acres of grapefruit plantings in Texas were begin- 
ning to bear. 

On other fronts, records indicate that the Florida Citrus Growers 
Clearing House Association, mentioned in the preceding chapter, 
had been activated and was functioning. While its effectiveness 

105 



FIFTY YEARS OF CITRUS 

was apparently not all that had been expected by the Exchange, 
it seems to have served well in pack standardization and in commod- 
ity advertising. 

In sales for the 1928-29 season, the Exchange increased 61.35 
per cent over the preceding season with particularly large gains 
in grapefruit and tangerines. Forty-nine per cent of Exchange 
sales for the season were placed in private sale, while 48 per cent 
was sold at auction. 

On the export market the Exchange continued its program of 
development of foreign trade. This report on the progress of the 
export trade is contained in the annual report of the 1928-29 season: 

The seald sweet trademark more firmly than ever is becoming 
established in the minds of the European trade and consuming pub- 
lic as a mark of quality grapefruit. This condition is fostered by 
consistent sales and display advertising work on the part of the 
Exchange. 

The European demand for seald sweet grapefruit again in- 
creased. More than twice as much fruit was shipped to Europe 
this year than during last season. Car lot supplies have been going 
forward steadily to Liverpool, London, Glasgow, and Hull. Less 
than carload lots have been going forward regularly from New York 
to Copenhagen, Antwerp, Rotterdam, Hamburg, Oslo, and New- 
castle. 

From these distributing points, seald sweet fruit has en- 
tered the lesser markets of ten countries in Western Europe during 
the past season. The important markets of these countries — Eng- 
land, Scotland, Germany, Belgium, Sweden, Norway, Holland, 
Denmark, France, and Finland — have received the greater propor- 
tion of the export volume. 

The importance of the United Kingdom as a market outiet is 
shown in distribution records which reflect that in 1923, the year 
of the Exchange's first venture into export trade, a total of 10,000 
boxes of Florida citrus was placed on that market. During the 
1928-29 season, the United Kingdom utilized well over 200,000 
boxes. 

The 1928-29 season saw practically no change in the physical 
composition of the field organization of the Florida Citrus Exchange. 
At the season's end, it was composed of eleven active sub-exchanges 
comprising eighty associations and eight special shippers, opera- 
ting seventy-six packinghouses. Twenty-six of the Exchange hous- 

106 



1928-1929 

es had by this time installed precooling plants, and fifty of them 
were operating marking machines for stamping the seald sweet 
name on individual fruit. 

In advertising, the Exchange adopted a "one-fourth more juice" 
slogan after conducting research into the chemical analyses of 
Florida and California orange juice, the results of which indicated 
a definite average superiority in both quantity and quality for 
Florida oranges. This was the basis of the Exchange's over-all ad- 
vertising and merchandising effort for the 1928-29 season. As in 
the past, the Exchange relied almost exclusively on newspaper and 
magazine advertising, although it ventured cautiously into the rel- 
atively new field of radio in the Denver, Colorado, area. 

Fourteen dealer service crews composed of thirty-four regular 
personnel and additional local help were maintained during the 
1928-29 season by the Florida Citrus Exchange. Two of the crews 
functioned in the mid-western division out of Chicago, two out 
of Detroit, two out of Cincinnati, three in the Eastern division, one 
in the New England division, and four crews in the two Southern 
divisions. V 

Combined, the merchandising force of the Exchange covered 
997 jobber contacts and 34,346 retailers. They placed Exchange 
materials in 10,785 store windows and utilized a total of 180,977 
pieces of advertising display material. 

By the conclusion of the season, four gigantic fruit and vege- 
table terminals were nearing completion at Detroit, Cleveland, 
Pittsburgh, and Providence. The Detroit terminal was expected 
to open on July 1, 1929, with thirty-eight acres of terminal ware- 
house space available. Two two-story terminal houses were to form 
the major structures, with the possibility of display of three hun- 
dred cars of fruit and vegetables at a single showing. 

While there can be no doubt that the 1928-29 season was com- 
plex and variable, there is reason to believe that, on the whole, 
cooperatives survived the season in extremely good shape. This 
is supported by a report of the general manager to his board in 
May, 1929: 

From a financial standpoint, packinghouse operations have been 
in general the finest in the history of the organization. Most houses, 
because of the volume handled, have been able to keep their costs 
at a very satisfactory figure. This will enable them to make sub- 
stantial refunds to their growers. The Exchange organization as a 

107 



FIFTY YEARS OF CITRUS 

whole is more closely united than ever before. It is in excellent 
position to present a united front to the many serious problems 
which present themselves for solution during the coming season. 

Certainly not the least of these problems was the uncertainty 
of the effect of the fruit fly on industry. The crop outlook was 
enigmatic, for it was impossible at the close of the 1928-29 season 
to estimate the following season's marketing potential on the basis 
of expected production alone. Into every estimate of available fruit 
came the unanswerable question of the effect of the fly on Florida's 
production. Of the known elements affecting the crop outlook for 
the following season, however, it is interesting to note that the set 
of fruit was much lighter than the year preceding, although the 
Valencia outlook indicated a fairly good crop. In some sections 
grapefruit bloom was reasonably good, while in others it was re- 
ported as very short. 

These conditions were prevalent as the board of directors com- 
pleted their work at the conclusion of the 1928-29 season. The 
Florida Citrus Exchange, on its twentieth anniversary, remained 
the stronghold of the cooperative movement in Florida citrus. Its 
successes were many and its infrequent shortcomings had been 
largely honest miscalculations of man and nature. Ahead some- 
where still veiled in illusiveness, was the answer to the aging prob- 
lem of volume control so persistently sought by the Exchange dur- 
ing its formative years. 



108 



CHAPTER 16 



1929*193© 



THE ANNUAL meeting of the board of di- 
rectors at the close of the 1928-29 season was held on June 4, 1929. 
Directors seated at this meeting were J. O. Carr of Charlotte Citrus 
Sub-Exchange, W. O. Talbott of Dade County Citrus Sub-Exchange, 
A. J. Dozier of DeSoto Citrus Sub-Exchange, W. J. Ellsworth of 
Hillsborough Citrus Sub-Exchange, Homer Needles of Indian River 
Citrus Sub-Exchange, W. W. Yothers of Lake Apopka Citrus Sub- 
Exchange, F. C. W. Kramer, Jr., of Lake County Citrus Sub-Ex- 
change, F. P. Goodman of Lake Region Citrus Sub-Exchange, R. K. 
Thompson of Manatee Citrus Sub-Exchange, W. R. Lee of Marion 
Citrus Sub-Exchange, F. A. Rundle of Orange County Citrus Sub- 
Exchange, J. S. Taylor of Pinellas County Citrus Sub-Exchange, 
Vet L. Brown of Polk Citrus Sub-Exchange, John D. Clark of Ridge 
Citrus Sub-Exchange, C. H. Walker of Scenic Citrus Sub-Exchange, 
A. W. Hurley of Seminole-Orange Citrus Sub-Exchange, J. E. Bart- 
lett of St. Johns River Citrus Sub-Exchange, and H. E. Cornell of 
Winter Haven Citrus Sub-Exchange. 

Special directors seated were F. S. Ruth, Jay Burns, Jr., W. J. 
Howey, and W. E. Lee, and Clinton Bolick was seated as an associ- 
ate director. 

Election of officers for the 1929-30 season was held on July 5, 
1929. E. L. Wirt was returned to the top office as president and 
chairman of the board, John A. Snively was elected as first vice- 
president; John S. Taylor as second vice-president; W. W. Yothers 

109 



FIFTY YEARS OF CITRUS 

as third vice-president; and C. H. Walker as fourth vice-president 
C. C. Commander was returned as general manager, O. M. Felix as 
secretary, George A. Scott as sales manager, A. H. Blanding as pro- 
duction manager; John Moscrip as advertising manager; E. D. Dow 
as traffic manager, and W. T. Covode as cashier. Judge William 
Hunter was again re-elected as legal counsel for the Exchange. 

The 1929-30 season according to all available records was affec- 
ted by three unusual but major factors. The quarantine regulations 
placed on the shipment of Florida citrus fruit because of the Medi- 
terranean fruit fly infestations were without doubt the most serious 
difficulty of this period. In addition to this, records indicate that 
quality was again generally below standard levels with respect to 
both appearance and eating quality. The third factor, however, 
apparently tended to offset the first two disadvantages. The crop 
volume for this season was one of the lightest in ten years. Com- 
ments and papers from recognized leaders in the industry at this 
time seem to verify the assertion that without this saving feature 
it would have been almost impossible to have marketed the entire 
crop at a profit to growers. 

Not only was Florida's production low, but the total volume of 
citrus produced by all citrus areas supplying American markets 
was considerably reduced from the 1928-29 season. Statistics from 
this period indicate that total production of California, Florida, the 
Rio Grande Valley of Texas, Puerto Rico, and the Alabama-Louisi- 
ana-Mississippi production area was slightly more than 20 per cent 
less than the production of the previous year. 

With regard to the Exchange itself during the 1929-30 season, 
the organization, in spite of the short production, handled 39.5 per 
cent of the states total fresh-fruit sales — an increase of 8 per cent 
over the preceding year. To those familiar with the early develop- 
ment of the cooperative movement in the state, this would seem to 
be a reversal of the usual situation in which marketing coopera- 
tives increased their percentage of control during heavy crop years 
when returns were low and the speculative element inactive. It 
seems apparent that this increase in tonnage was due in great part 
to the timely assistance of the Federal Farm Board, which, under 
authorization of the Agriculture Marketing Act, approved loans to 
the Exchange totaling $3,300,000. These loans, available at low 
rates over a relatively long period of time, made possible the finan- 
cing of mergers of large independent grower-shipper interests with 

110 



1929-1930 

the Florida Citrus Exchange. Even though these mergers them- 
selves were to effect some changes in policy and operation in the 
Exchange organization and were to place new people on the board, 
in the interest of brevity this history must generalize to a great ex- 
tent in the coverage of this era. Certain facts, however, played an 
important role not only in the contemporary structure of the Ex- 
change, but also in their effect upon the future history of the or- 
ganization. 

Merger activity was entered into with the Florida Citrus Ex- 
change during this period by Chase and Company, Florida United 
Growers, International Fruit Corporation, Lucerne Park Fruit As- 
sociation, and others. It should be noted that much of this merger 
activity was apparently brought about through the attitude of the 
Federal Farm Board, which had decreed that the Florida citrus 
industry could qualify for federal loans only by some system of 
consolidation which would place a greater percentage of the Florida 
crop under a single marketing control. It must be remembered that 
these were the years of the Great Depression, and that the extent of 
the government's assistance even on the most difficult terms was con- 
sidered so important as to cause the creation of interest in almost 
any program that would qualify the industry for this assistance. 
Thus, as mergers were consummated to meet the exigencies of the 
times, some of these transactions were to last only a few short years 
while others were permanent and long lasting. 

One of the immediate effects of the consolidation was the re- 
design of certain phases of the charter and bylaws of the Florida 
Citrus Exchange to accommodate independent grower-shipper or- 
ganizations. In this process, and through agreements with the 
Chase organization at the time of its merger with the Exchange, J. 
C. Chase of that firm became the Exchange's president, an office 
previously held concurrently with that of chairman of the board. 
E. L. Wirt, who had vacated his position as president to make way 
for Chase to assume that position, remained as chairman, and D. C. 
Gillett of Tampa was seated as a director representing International 
Fruit Corporation. 

While the merger activities may have caused considerable co- 
operation among those interests basically involved, the industry 
was on the whole in a state of almost complete antagonism with 
regard to both the merger actions and the loans of the Federal Farm 
Board. Charges and countercharges were hurled across the citrus 

111 



FIFTY YEARS OF CITRUS 

belt in verbal violence that was seldom equalled in the rocky course 
of development of the industry. For the most part, the controversy 
involved the Exchange and nonmembers, both cooperative and in- 
dependent. But the repercussions reverberated even within the rel- 
ative unity of the Exchange itself. Charges of misconduct of Ex- 
change business by its officials were aired publicly as was the 
suspicion of misappropriation of Exchange funds by the board. 
Newspaper advertisements, editorials, industry meetings, and om- 
inous rumors stacked one upon the other until tension dictated that 
these troubled waters must necessarily be calmed if the industry 
was to survive. 

The Exchange was moved to appoint an investigation commit- 
tee composed of Edward R. Bentley, Rupert Smith, R. P. Burton, F. 
E. Grigham, J. C. Palmer, and William Drew to investigate charges 
against the Exchange organization. None of the committee was a 
member of the board of directors, and the commitee itself was 
asked to operate entirely on a nonpartial basis, to hold hearings, 
and to take testimony. The findings of this committee, while not 
favorable to the Exchange in all respects, did much to heal the rift 
and pacify the critics. 

This era cannot be passed over without, in all fairness, consid- 
ering that the mergers, combined with the additional financing 
they afforded the Exchange, were of most important consequence 
to the rest of the industry. This fact, when viewed with regard 
to the economic depression, existing nationwide, is sufficient to re- 
construct a situation which provided ideal elements for an industrial 
battle. It is doubtful that any of the participants emerged without 
long-lasting scars, and it must be noted that even though it was 
apparent eventual victor in the conflict the Florida Citrus Exchange 
has never completely resolved some of the differences that were 
born of this era. 

Meanwhile, the Mediterranean fruit fly continued to hamper 
marketing operations throughout the state. However, according 
to a report of General Manager Commander on May 1, the last 
major infestation was found on January 31, 1930. The Med-fly situ- 
ation was therefore most encouraging by the close of the 1929-30 
citrus period, and citrus people throughout Florida were cautiously 
optimistic about the future. 

Information available indicates that the Exchange continued to 
support the Clearing House with the feeling that trade matters 

112 



1929-1930 

affecting the industry as a whole were properly conducted through 
that organization. 

One of the most important factors during this season, insofar 
as the utilization of fruit was concerned, was the arrangement made 
by the Exchange with canners to supply grapefruit for canning 
purposes at stabilized prices over a five-year period. Under this 
arrangement, made initially with the Floridagold Citrus Corporation 
at Eagle Lake, canners agreed to purchase their raw grapefruit 
requirements exclusively from the Exchange. For the 1930-31 
season, packinghouse f. o. b. prices for the fruit would be 90 cents 
per box, with this figure rising to $1.00 per box in the 1932-33 sea- 
son, where it would remain for the 1933-34 and 1934-35 seasons. 
While there is evidence that this arrangement did not live up to 
long-range expectations, it is interesting to note that this occasion 
marks, perhaps, the first major recognition of the importance of the 
canning trade to the economy of the Florida citrus industry. 

There was a continuance of the Exchange's major market area 
merchandising program under the same general plan as in the pre- 
ceding years, although the difficulties of this period seem to have 
necessitated great care in the release of funds for this purpose. 

Export shipments by the Exchange were greatly reduced during 
this season, an obvious result of the short crop. Although plans had 
been made at the close of the 1928-29 season to ship a considerable 
volume abroad, it appears to have been apparent early in the new 
season that these plans would of necessity be shelved. In addition 
to other factors which precluded volume exports, Florida grape- 
fruit ran heavily to large sizes during the 1929-30 season, while 
European requirements called for heavy commitments of small- 
sized fruit. Under a trial export plan to Buenos Aires, however, 
the Exchange developed the introduction of Florida grapefruit into 
that country. The plan worked most successfully on a small ship- 
ment basis out of the New York port, and a survey of the results 
indicates that the season's operation netted a profit to Exchange 
growers of nearly $1.00 per box. 

At the close of the 1929-30 season the Florida Citrus Exchange 
was composed of thirteen sub-exchanges, and a hundred and six 
associations and special shippers. A comparison of the organiza- 
tion with the previous year indicates a gain of two sub-exchanges 
and eighteen assocations and shippers. The over-all Exchange or- 
ganization during the 1929-30 season embraced 5,984 grower-mem- 

113 



FIFTY YEARS OF CITRUS 

bers, according to statistics compiled by the auditing department 
at that time. Exclusive of the acreage controlled by Chase and 
Company and the International Fruit Corporation, the Exchange 
had increased its acreage control by 12,930 acres. 

It is probable that more than ever before the question of ade- 
quate financing became the most important element in the decision 
of growers to consider membership in the Exchange. With abnor- 
mal seasons for several prior years, growers needed desperately 
to arrange for financial assistance. Through the activtiy of the 
Growers Loan and Guaranty Company, the grower financing prob- 
lem was being met with considerable success during this time. 
While the Guaranty Company was apparently unable to renew its 
lines of credit with a few of the Northern banks, it retained the 
majority of its connections and was successful in obtaining consid- 
erable financial assistance. With the assistance of these banks and 
the Federal Intermediate Credit Bank as well as the Federal Farm 
Board, the company was able to continue to provide aid to growers 
and shippers in the Exchange system. 

There is little reason to doubt that the operation of the Growers 
Loan and Guaranty Company was particularly responsible for a 
great portion of the development of cooperative marketing in the 
Florida citrus industry at this time. The growth of the industry 
seems to have been directly reflected in the percentage of the total 
crop under cooperative control, and, during these troubled times, 
the Exchange's finance subsidiary served as a major inducement to 
growers and shippers to become associated with the large marketing 
cooperative. 

The work of another subsidiary, the Exchange Supply Company, 
should also be noted in this chapter. A report of the activity of 
the supply company for this period indicates that it handled prac- 
tically everything connected with the operation of a packinghouse. 
Although operated on a close margin of profit, the supply cooper- 
ative gave liberal discounts to members, and wound up the season 
with a small net profit. At this time, the Exchange Supply Company 
was in the process of liquidating its fixed holdings acquired in con- 
nection with various manufacturing departments utilized by the Ex- 
change in prior years but discontinued as the industry continued 
to develop. 

To summarize the status of development of the Exchange in 
the 1929-30 season, it might be well to review some of the major 

114 



1929-1930 

items covered in a report of a special organization committee ap- 
pointed by the board. This report was rendered on December 19, 
1930. 

The committee does not overlook the fact that the present care- 
ful maintenance of grading standards, fair sales contacts and brand 
advertising have obtained for the Florida Citrus Exchange brands 
a considerable and enviable good will among the trade and consum- 
ers throughout the country. This good will factor is an added value 
in making practical the handling of a control volume by the Flor- 
ida Citrus Exchange. 

In addition to these well-organized facilities, the Florida Citrus 
Exchange has a financial subsidiary which is among the leaders of 
its type of organizations in the country. It commands the good will 
and respect of credit contacts everywhere. Its operation since its 
organization (1918) has been conducted in a consistent, safe man- 
ner for the benefit of Exchange grower members. 

The committee has yet to find one factor advanced as a cause 
of the conditions existing in the industry which could not be cor- 
rected by the vestment of a minimum of 75 per cent control in the 
Florida Citrus Exchange. Given that control, the Florida Citrus 
Exchange could operate satisfactorily the basic merchandising fun- 
damentals necessary for the sale of each succeeding crop at a profit 
to the producer. 

It could regulate shipments, both geographically and periodi- 
cally, in accordance with definitely recognizable demand. It could 
standardize grades and packs. It could put into operation and 
maintain proper methods of price quotations. It could control 
prices and maintain them at a level consistent with the market value 
of the fruit. With its solidified grower support, it could obtain 
enactment and enforcement of proper green fruit legislation. 

All of these factors, however, depend upon the concentration of 
a minimum of 75 per cent control of the fruit volume year after 
year in the organization. The accomplishments attributed by this 
committee to control are not fantastical theory. The efficiency of 
that control is adequately illustrated in the California lemon situa- 
tion. Further evidence of the practical nature of this emphasis on 
control is available from an analysis of the returns made by the 
California Citrus Growers Exchange to its growers. 

California admits that it costs them more to produce citrus than 
it does Florida. Yet, by adequate control, their growers are paid 
a price consistently which nets a profit to the grower over cost of 
production. Florida uses the same methods of merchandising, but 

115 



FIFTY YEARS OF CITRUS 

without the same percentage of control. It repeatedly pays the 
penalty. 

From the foregoing it is obvious that, even in its finest hours, 
the Florida Citrus Exchange looked longingly to the future for a 
method of industrial cooperation that would calm the highly com- 
petitive wildness of the industry to the benefit of its scores of in- 
dividual growers. 



116 



CHAPTER 17 



1930^1931 



AMERICAN citrus-producing sections raised 
bumper crops of citrus during the 1930-31 season, and their com- 
bined volumes were the greatest produced in the history of the 
industry. In Florida, where the increase was most pronounced, the 
rate of increase of production was 88 per cent over the previous 
season. California increased its production by 52 per cent, and 
Cuba was up an estimated 44 per cent. Texas and Puerto Rico, 
however, showed an average decrease of about 50 per cent. 

The merchandising of this tremendous crop, which in Florida 
alone totaled 19,200,000 boxes of oranges and 15,800,000 boxes of 
grapefruit, was complicated by the continued economic depression 
which existed throughout the country. The purchasing power of 
all markets, but most particularly those primarily dependent upon 
the payrolls of manufacturing industries, was sharply reduced. On 
the other hand, according to available records, Florida's citrus crop 
was of unusually good quality throughout. Within the Exchange or- 
ganization itself, more than 40 per cent of its fruit graded U.S. #1 
quality, and 40 per cent of the remaining fruit met specifications for 
U.S. #2 grade. 

The Mediterranean fruit fly had ceased to be a factor in the 
movement of Florida citrus by this time, and indications are that 
the entire crop of 1930-31 was moved without a recurrence of in- 
festation. Decay factors for the season were at a minimum and 
losses through decay were at their lowest point in recent seasons. 

117 



FIFTY YEARS OF CITRUS 

The low decay percentage made possible the merchandising of 
fruit by various methods to the advantage of growers throughout 
the state. Sale of bulk fruit had, of course, been revived, as well 
as considerable sales in consumer bag packages. 

For 1930-31 the Board of Directors for the Florida Citrus Ex- 
change, representing the Citrus Sub-Exchanges, included: J. C. 
Chase of Chase, J. O. Carr of Charlotte, W. O. Talbott of Dade, 
Rupert Smith of DeSoto, John A. Snively of Florence Villa, R. P. 
Burton of Lake, Marvin H. Walter of Hillsborough, Homer Needles 
of Indian River, D. C. Gillett of International Fruit, J. G. Grossen- 
bacher of Lake Apopka, R. O. Philpot of Lake Region, R. K. Thomp- 
son of Manatee, Walter R. Lee of Marion, C. A. Garrett of Orange, 
John S. Taylor of Pinellas, Vet L. Brown of Polk, J. D. Clark of 
Ridge, C. H. Walker of Scenic, A. W. Hurley of Seminole, R. J. 
Kepler, Jr., of St. Johns River, and H. E. Cornell of Winter Haven. 
Special directors were F. S. Ruth, D. A. Hunt, E. L. Wirt, L. R. 
Skinner, and Clinton Bolick. 

Elected officials of the organization for the 1930-31 season were J. 
C. Chase, president; E. L. Wirt, chairman; John A. Snively, first vice- 
president; John S. Taylor, second vice-president; Rupert Smith, third 
vice-president; Homer Needles, fourth vice-president; C. C. Com- 
mander, general manager; F. W. Davis, general sales manager; J. 
Reed Curry, manager, Organization Department; John Moscrip, 
advertising manager; E. D. Dow, traffic manager, W. T. Covode, 
cashier; and Judge William Hunter, attorney. 

Sub-Exchanges included Chase, Charlotte, Dade, DeSoto, Flor- 
ence, Lake, Hillsborough, Indian River, International, Lake Apopka, 
Lake Region, Manatee, Marion, Orange, Pinellas, Polk, Ridge, Scen- 
ic, Seminole, St. Johns River, Winter Haven, and five additional 
grower-shipper organizations in the Special and Associate cate- 
gories. 

One of the most important actions of the Exchange with regard 
to the entire industry was its decision on May 15, 1930, to resign 
its membership in the Florida Citrus Growers Clearing House As- 
sociation. This action was undoubtedly brought about because of 
a growing feeling within the Exchange that the Clearing House 
had little to offer the large cooperative in the way of marketing 
assistance. While the Exchange could see the direct benefit of 
Clearing House services within the industry, the board seems to 
have reached the conclusion that its marketing services failed to 

118 



1930-1931 

justify the expense. Complete withdrawal from the Clearing 
House was apparently decided upon only after the Exchange had 
presented a plan which would continue its membership for in-indus- 
try services, but which would exclude the organization from mar- 
keting services. Under this plan, the Exchange would continue 
its membership on a reduced assessment. The plan was not, how- 
ever, acceptable to the Clearing House Association, and the Ex- 
change withdrew its membership and severed connections with 
the Clearing House with full support from its associations and 
growers. 

Thus another dream of total cooperation among the varied in- 
terests of the Florida industry was apparently dissolved into bleak 
reality, and the Exchange redesigned its staff and policy to fill 
whatever gaps were left by its withdrawal from the Clearing House. 

Probably the most important development of the 1930-31 season 
for the Exchange was in moves to perfect its sales policies, methods, 
plans, and organization. Radical changes were made in personnel, 
one such move being the subdivision of the sales department by 
commodity. This change in organizational structure was designed 
to make possible a much closer supervision and concentration on 
sales of oranges and grapefruit. Division of the country into sales 
divisions and districts permitted an absolute localization of re- 
sponsibility in the development of all possible markets for Exchange 
fruit. 

In retrospect, it is possible today for the citrus veteran to pick 
flaws in this structure, and the Exchange was to find the plan un- 
workable before the passing of many seasons. Yet the enthusiasm 
with which both the board and its executives launched the reorgani- 
zation is indicative of the times and the constant effort toward great- 
er efficiency of the organization. 

The realignment of the sales department resulted in the employ- 
ment of F. W. Davis as general sales manager, but retained George 
Scott, former sales manager, as the orange sales manager and placed 
E. E. Patterson in the position of grapefruit sales manager. Under 
the revised system, weekly forecast bulletins, in addition to the 
daily wire service, were released by the sales department to associ- 
ation and sub-exchange members. These bulletins kept the entire 
organization fully informed at all times as to the condition of the 
markets and the prospective tendencies from time to time during 
the season. The plan was, of course, to keep association managers 

119 



FIFTY YEARS OF CITRUS 

fully informed so as to enable them to handle their growers' crops 
to the best advantage. The immediate results were apparently 
good, for by the close of the season each division and district had 
seen an increase in business. While some of this was undoubtedly 
due to the greatly increased production of the season, there is reason 
to believe that the reorganization plan was at its peak efficiency in 
just such circumstances. 

The bulk-fruit business, normally a menace to good merchan- 
dising in this period, was handled to good advantage. Bulk trade 
was confined almost entirely to small towns and markets where 
this type of shipment made possible successful competition of Flor- 
ida fruit with that of California and Texas. 

Through the particular methods utilized by the Exchange in 
handling its bulk fruit, reports indicate that practically none of the 
Exchange volume moved in bulk was a factor in the demoralization 
of fresh-fruit markets because of bulk competition. This was true 
despite the fact that approximately 1,200 cars of grapefruit and 
1,500 cars of oranges were moved in this manner during the season. 

It is interesting to note that the Exchange, during the 1930-31 
season, was quite enthusiastic over its renewal of a sales contract 
with the Pacific Fruit Exchange. Some of this enthusiasm is ap- 
parent in a report by General Manager Commander in May of 1931: 

Final and adequate evidence of the general rounding out and 
strengthening of the Exchange as a sales organization is found in 
the renewal of the Pacific Fruit Exchange contract with the Ex- 
change Company. That an organization of the standing and im- 
portance of the Pacific Fruit Exchange should repeatedly renew 
its sales contract for increasing volume is a tribute to the efficiency 
and ability of the sales organization owned and controlled by 
Exchange members. 

The export volume, which had drastically declined during the 
preceding season, sprang to life with the high-volume season of 
1930-31. Exchange export sales for the total season were three 
times as great as sales of any prior season on record. Export ship- 
ments were made almost wholly to London and Liverpool, with 
distribution from these points to Birmingham, Newcastle, Man- 
chester, Glasgow, Paris, Hamburg, Bremen, Antwerp, Copenhagen, 
Rotterdam, Oslo, and Zurich. Research of the foreign trade during 
the season indicates that export shipments brought in almost all 

120 



1930-1931 

cases as much as the prevailing prices in domestic markets and in 
some instances they returned more. 

The extent of the Exchange activity in the development of new 
methods of utilization of Florida citrus is apparent in this official 
annual report of the 1930-31 season: 

The Exchange participation in the development of by-products 
industries has been of marked advantage to its growers. Benefit 
derived from these industries will increase as the details attendant 
upon the production and sale of their products are worked out and 
volume in their movement is obtained. 

The Florida Citrus Exchange undoubtedly is responsible for 
the development of the frozen orange juice deal in interesting re- 
sponsible well-capitalized distributing units in its manufacture and 
sale. Frozen orange juice would not be a commercial reality today 
had it not been for the investigational and research work put on 
this product by the Exchange over the past two years. To handle 
the growing volume of work attendant upon the development of 
this by-product, the Exchange Juice Company was organized as a 
subsidiary of the Florida Citrus Exchange in October of 1930. 

The primary object of the organization of the company is to 
develop the juice end of the industry, especially frozen orange juice. 
Its major operations to date have been limited to research work. 
Investigation of the market for frozen juice indicated that a large 
investment in plants, advertising, etc., would be required for the 
preparation and sale of the product. It did not seem advisable to 
spend these funds if information and experience in the handling of 
the product could be obtained elsewhere. 

The National Juice Company, a subsidiary of the National Dairy 
Product Corporation, had already been formed and the Florida 
Citrus Exchange was under contract to supply this company 250,000 
boxes of juice grade fruit for its freezing operations on orange juice. 
The Borden Farm Products Company entered the field shortly 
after the National Juice Company started operations. With these 
well-organized and financed organizations in the field of frozen 
juice, it seemed advisable that the Exchange Juice Company con- 
fine its operations for the first season to research work, gaining what- 
ever information and knowledge possible from the operations of 
these companies. 

Considerable information has been obtained to date, but much 
more complete analysis of the sales value of the product will be 
obtained during the Summer months when there should be the 
greatest demand for it. Generally speaking, frozen orange juice 

121 



FIFTY YEARS OF CITRUS 

is being favorably received in most markets, principally because of 
the convenience in handling. Due to economic conditions, the de- 
mand probably has not been as great as it would be were conditions 
normal. The low retail price of fruit this season in practically all 
markets has caused many prospective users of frozen juice to con- 
sider it too expensive when compared with the fresh fruit. When 
the Florida shipping season is over, there will undoubtedly be an 
advance of the retail price of fresh fruit with a consequent rise in 
sale of the frozen product. 

Research work in this branch of the industry as conducted by the 
Exchange Juice Company has embraced the assembling and stor- 
ing of samples from the different companies in the field to permit a 
comparative study of the products over a period of time. The most 
acceptable size and kind of container for the product has been con- 
sidered. The best and most economical method of extracting the 
juice is another point on which investigation has been made. In 
addition, efforts were made to ascertain the most feasible system 
of freezing, storing and shipping the frozen juice. In considering 
work on this product it should be noted that in addition to the firms 
above named, several Exchange houses formed at Winter Haven 
the Florida Orange Juice Corporation. This plant was equipped 
under the direction of the Exchange engineer and froze approxi- 
mately 5,000 gallons of juice before the end of the season. The 
quality of the product turned out at this plant was exceptionally 
good. At the end of the season their management had reduced the 
cost of operation to a point lower than that maintained in either 
of the operations conducted by the above-mentioned firms. This 
plant will be ready to start operations as early as needed during the 
season of 1931-32. 

Research work has also been conducted on canned and bottled 
juices. Numerous samples of all known brands on the market were 
stored and are being used for comparative tests over definite periods 
of time. 

Similar work is being conducted on by-products in the form of 
orange and grapefruit juice concentrates. Experiments in this line 
are being made at the plant of Bruce's Products, Inc., in Tampa, 
involving several thousand boxes of fruit. It is hoped that the Ex- 
change Juice Company may develop something in this line, whereby 
a considerable volume of lower grades of fruit may be utilized. 

The canned grapefruit contracts, mentioned in the preceding 
chapter as negotiated by the Exchange for the sale of canned grape- 
fruit at 90 cents per box, was doubtless another factor of importance 

122 



1930-1931 

in the utilization of the large 1930-31 crop. Moreover, cooperative 
activity in the canning industry had also progressed rapidly over 
the preceding three years. While the independent canners fared 
poorly during the 1930-31 season, producer-controlled canneries 
made great strides. Feeling that this development of cooperative 
canning offered some opportunity for the Exchange, the organiza- 
tion established a canning division to supervise a standardized pro- 
duct and to effect favorable sales distribution. This action was 
taken in March, 1930, and by the end of May, three Florida factories 
were producing canned grapefruit for Exchange sale. They were 
the Golden Triangle Canning Corporation of Eustis, Indian River 
Exchange Canners of Fort Pierce, and DeSoto Canners Association 
of Arcadia. 

The 1930-31 season thus concluded on a note of general optimism 
throughout the industry and of extremely bolstered confidence of the 
Exchange in its ability to move large volumes of fruit into profitable 
utilization channels. After seasons of adversity, the long predicted 
crop of 74,000,000 boxes had arrived and had been moved in spite 
of national economic conditions that were less than favorable. The 
big Florida industry as it is known today was beginning to emerge. 
Foundations for industrial fortunes were being laid, and Florida 
was on its way to becoming the largest citrus producer in the world. 



123 



CHAPTER 18 



1931*1932 



WHILE THE 1930-31 season was progres- 
sing to its conclusion, as indicated in the preceding chapter, the 
question of moving the headquarters of the Exchange from Tampa 
to some location in the interior of the state had been gaining mo- 
mentum. At a series of board meetings commencing in January, 
1931, this movement gained considerable support and after sev- 
eral stormy sessions was finally adopted as the "sense of the board." 
Once the board had settled this question, the problem of location 
of the headquarters became of paramount importance. Here again 
there was extreme controversy, but the decision was eventually 
reached that the new location would be in Winter Haven. 

The decision was short-lived. As previously stated, the Federal 
Farm Board, through its lending facilities, had been providing vital 
assistance to the Florida Citrus Exchange during the economic de- 
pression of this era. Because of the Farm Board's importance in 
this respect, it had been asked to consider the effect of movement 
of Exchange headquarters to Winter Haven, and to offer its opinion 
of the proposed move. On June 19, 1931, the Federal Farm Board 
advised in a long letter to the board that "after careful consideration 
of all the facts developed by the survey, the Federal Farm Board 
has reached the conclusion that the Exchange headquarters should 
remain in Tampa." The advice of the highly regarded Farm Board 
was accepted and, although we shall discuss a change in location 
within the city of Tampa later, the question of moving the head- 

124 



1930-1931 

quarters from Tampa inland was to remain dormant for many years. 

The board of directors met in annual meeting on June 2, 1931, 
to organize for the 1931-32 season. Seated as directors were J. O. 
Carr of Charlotte Citrus Sub-Exchange, J. C. Chase of Chase and 
Company, W. O. Talbott of Dade, Rupert Smith of DeSoto, John 
A. Snively of Florence Villa, Homer Needles of Indian River, D. C. 
Gillett of International, J. G. Grossenbacher of Lake Apopka, John 
Morley of Lake Region, R. K. Thompson of Manatee, W. R. Lee of 
Marion, C. A. Garrett of Orange, George Speese of Polk, John D. 
Clark of Ridge, C. H. Walker of Scenic, A. W. Hurley of Seminole- 
Orange, R. J. Kepler, Jr., of St. Johns River, H. E. Cornell of Winter 
Haven, Marvin H. Walker of Hillsborough, and John S. Taylor of 
Pinellas. Special directors were F. S. Ruth, D. A. Hunt, E. L. Wirt, 
and L. B. Skinner. Clinton Bolick was elected as associate director. 
Prior to the election of officers at this meeting, the board was handed 
a letter of resignation from J. C. Chase, president of the Exchange. 
Although he had completed the tenure to which he had been elected, 
the letter apparently was designed to eliminate any consideration of 
the board in returning him to the presidency during the 1931-32 
season. 

As organized for this season, officials of the Exchange were John 
A. Snively, president; John S. Taylor, first vice-president; J. G. 
Grossenbacher, second vice-president; R. J. Kepler, Jr., third vice- 
president; and Rupert Smith, fourth vice-president. E. L. Wirt 
was returned as chairman of the board. Re-elected to staff posi- 
tions were C. C. Commander as general manager, F. W. Davis as 
general sales manager, J. Reed Curry as manager of the organization 
department, and Judge William Hunter as attorney. 

With regard to the board, at the annual meeting of the Hills- 
borough Citrus Sub-Exchange held on July 31, 1931, Marvin H. 
Walker was replaced as representative of that sub-exchange by B. E. 
Stall. A subsequent consolidation of the Charlotte Citrus Sub- 
Exchange and the DeSoto Citrus Sub-Exchange resulted in can- 
cellation of qualifications of Rupert Smith and J. O. Carr who had 
represented these two organizations on the board. J. O. Carr was 
named, however, to represent the newly consolidated sub-exchange, 
and was also thereafter elected by the board to be fourth vice- 
president, filling the vacancy left by Smith. 

The 1931-32 season saw the total American production of citrus 
drop below that of the preceding season, but it was considered 

125 



FIFTY YEARS OF CITRUS 

greater than the production of any other season in the history of 
the industry. Further, this heavy production was marketed in the 
face of the worsening economic depression which by now had been 
described as the worst national slump since Civil War times. Low 
prices on Florida citrus were generally experienced throughout the 
season. In spite of this fact, reports indicate that average net 
returns to Florida citrus growers were considerably in excess of 
those obtained by producers of other agricultural commodities 
throughout the nation. For the first time citrus producers faced 
a new development which heralded the coming of a dangerous 
competitor in future marketing. Tomato juice, practically unheard 
of in seasons previous, was marketed in the grand total of 1,500,000 
cases during the 1931-32 citrus season. Strongly supported by an 
intense advertising campaign conducted by packers of tomato juice, 
widespread consumer acceptance was becoming of major concern 
to the Florida Citrus Exchange as well as to all of the industry. 

Another alarming factor, as evidenced by the annual report for 
the 1931-32 season, was the entry of chain stores into the growth, 
on-tree purchase, and shipment of fruit within the state. Florida 
citrus growers and shippers alike viewed this development with 
considerable alarm as adversely affecting the future marketing po- 
sition of citrus fruits. 

In view of the steady rise in truck shipments in current times 
it is interesting to review a report by the general manager of truck 
operations during the 1931-32 season. 

The development of trucks as carriers and their operators as 
nomadic and largely irresponsible sales agents for Florida citrus 
has been another factor of considerable importance in the movement 
of this season's crop. The apparent price advantage obtained by 
the sale of fruit to these carriers at the packing house is sacrificed 
in the marketing of the balance of the crop handled through stan- 
dard channels. 

In those markets reached by trucks filled with bulk fruit, driven 
day and night with low overhead, a heavy price toll is paid by the 
standard packs which must meet this price competition. 

Government check on the truck movement of citrus from Flor- 
ida was maintained this season through December. The total 
moved by these carriers to January 1st was 833,572 boxes, over 
half of which moved in the single month of December. Truck 
sales did not begin to decline appreciably until March of this year, 

126 



1931-1932 

and thus the total movement for the season undoubtedly is many 
times the total of the recorded period. The truck volume, therefore, 
has become a large factor in the movement of the total crop. 

An examination of its widespread distribution illustrates the 
menace which exists unless some control is exercised. One truck 
load sold at low prices in an average sized market will affect nega- 
tively the prices on three cars of packed and graded fruit. 

A change in Exchange policy during the 1931-32 season, although 
not spelled out clearly in records of that period, is evident in its 
operations for that season. There was an effort to concentrate all 
activities solely upon the promotion and sale of Exchange growers' 
products. Other planned activities — and they were numerous — 
were abandoned. The implementation of this policy, together with 
a reduction in estimated volume through the season, resulted in 
definite economies. On July 31, 1931, salaries of all employees in 
Florida and in terminal markets which exceeded $100 monthly 
were reduced by 10 per cent. An additional 5 per cent reduction 
on all salaries above $125 monthly became effective on April 1, 
1932. Rearrangements of departmental activities where adjust- 
ments could be made without loss of efficiency and the discontinua- 
tion of many activities served to cut operational costs to bare mini- 
mums. It should be remembered that the depression was at its 
worst during this period and that every conceivable economy was 
placed in effect to bring back to the grower the absolute maximum 
price for his fruit. 

Export volume for the season, which dipped to approximately 
19 per cent under the 1930-31 season, was caused mainly by Great 
Britain's decision to abandon the gold standard in October, 1931. 
The English pound dropped from par to figures as low as $3.28 as a 
result of this move, and further difficulties were encountered when 
the British Parliament enacted a 10 per cent tariff on all citrus im- 
ports. Nonetheless, export shipments to the United Kingdom 
totaled 500,000 boxes during the season. 

The consumer-bag container business also dipped during the 
1931-32 season so far as the Exchange was concerned. Develop- 
ments in the bag industry, according to available reports, elimin- 
ated the possibility of a continuation of the exclusive development 
of the bag business by the Florida Citrus Exchange. With other 
operators coming into the bagged-fruit picture, Exchange movement 
dropped from 705 cars in 1930-31 to less than 150 cars in 1931-32, 

127 



FIFTY YEARS OF CITRUS 

a decrease apparently caused by the low competitive prices result- 
ing from relaxation of the high standards established by the Ex- 
change. Owing to what appears to have been a general tendency 
to downgrade the bagged package with inferior fruit, the Exchange 
could not compete in the matter of price and still provide price 
protection to its growers. 

In developing a profitable market for off-sized fruit of member 
growers, some Exchange associations had built or leased and oper- 
ated canning plants by this time. Under such arrangements, the 
Exchange acted as sales agents for these production groups much 
in the same,capacity that it functioned in fresh fruit. 

During the 1931-32 season, the Florida Citrus Exchange through 
its canning division handled sales for four units. These were located 
at Lake Wales, Arcadia, Bradenton, and Tampa. Combined pro- 
duction of these four units reached 133,377 cases of canned grape- 
fruit hearts and juice. Wide distribution of seald sweet canned 
grapefruit juice was slowly being organized through an effective 
brokerage system. 



128 



CHAPTER 19 



1932*1933 



THE 1932-33 season was, from all available 
indications, a season of almost constant change in policy and in con- 
duct of the business of the Florida Citrus Exchange. As the previous 
season had drawn to a close, recommendations had been received by 
the board from a committee of its own members, as well as from 
the Erwin, Wasey advertising agency, that several fundamental 
changes in the organization of the Exchange be effected. These 
recommendations spelled out a feeling of the need for a reduction 
in the size of the board, for a further withdrawal of the Exchange 
from all activities other than the sale of fruit for its members, and 
for a method of eliminating duplication of activity in the general 
offices and in the sub-exchange offices. Some of these changes will 
be discussed in the following pages of this chapter; however, in 
the interest of continuity, important developments attending the 
seating of the board of directors for the 1932-33 season should first 
be reviewed. 

It had become apparent prior to the annual meeting on June 9, 
1932, that John A. Snively, president of the Exchange during the 
1931-32 season, would not make himself available for re-election 
to that office. His reasons are outlined in a letter of resignation, 
the complete text of which is recorded in the minutes of the annual 
meeting. We quote from a part of that letter: 

I want to repeat that I am not a candidate for this office and 
believe that, for the best interests of this organization, I should not 

129 



FIFTY YEARS OF CITRUS 

be elected. I do not possess a political nature and am, perhaps, too 
forceful in expressing my views. I have at no time meant to be rude, 
but I have naturally hurt some of you. Therefore, I want to assure 
the Board at this time that I have no personal feeling against any 
member in writing this letter, as I believe that the Board honestly 
endeavors to do the best it can for the grower members of the 
organization. 

I have an additional reason for my refusing this honor. With a 
definitely established policy, the Exchange could not have a salaried 
President. I have always felt that the President of the Exchange 
should have enough stake in the industry to be willing to serve 
without a salary and that the industry should hire any talent it needs 
for specific purposes. 

Still another reason for my refusal is the fact that I am from 
Polk County. The President of the Exchange has come from Polk 
County most of the time. I know that that fact, together with other 
ideas which have originated in Polk County, has engendered a 
great deal of feeling in the Exchange. Certain prejudices have been 
fostered which should not be allowed to exist. 

I further believe that the President of the Exchange should be 
elected by as nearly unanimous a vote as possible. Certainly he 
should be a man whom nobody can charge with having selfish mo- 
tives in holding the office. 

There are four well-organized territories in the Florida Citrus 
Exchange — Polk County, Orange County, the Indian River Sub- 
Exchange, and Pinellas County. I believe that the next President 
of the Exchange should come either from Orange County, Pinellas 
County, or the Indian River Sub-Exchange. Beyond this, however, 
he should come from a well-organized Association and should have 
a substantial interest in the citrus business. 

My personal desire is not to be on the Tampa board at all. I 
could thus demonstrate to the growers of this state that a grower 
who has been active in Exchange affairs can become a grower and 
still have confidence that he will be treated properly by the Florida 
Citrus Exchange, as well as having an effective voice in the manage- 
ment of its affairs through the local Association and Sub-Exchange. 

Directors seated at the June 9, 1932, meeting were William Ed- 
wards of Zellwood, J. C Chase of Sanford representing Chase Sub- 
Exchange, Frank G. Clark of Indian River City representing Dade 
and Indian River Sub-Exchange, J. O. Carr of Fort Ogden repre- 
senting DeSoto, John A. Snively of Winter Haven representing 
Florence Villa, C. B. Hipson of Umatilla representing Lake and 

ISO 



1932-1933 

Marion, B. E. Stall of Tampa representing Hillsborough, L. L. Low- 
ry of Orlando representing International, J. G. Grossenbacher of 
Plymouth representing Lake Apopka, John Morley of Lake Alfred 
representing Lake Region, Lee S. Day of Bradenton representing 
Manatee, C. A. Garrett of Kissimmee representing Orange, John 
S. Taylor of Largo representing Pinellas, Vet L. Brown of Bartow 
representing Polk, J. K. Stuart of Bartow representing Ridge, C. H. 
Walker of Bartow representing Scenic, A. W. Hurley of Winter 
Garden representing Seminole-Orange, R. J. Kepler, Jr., of DeLand 
representing St. Johns River, H. E. Cornell of Winter Haven repre- 
senting Winter Haven, and Clinton Bolick of Fort Myers represent- 
ing Lee. 

Officers and key department heads of the Exchange elected on 
June 9, 1932, for the 1932-33 season were William Edwards, presi- 
dent and chairman of the board; John S. Taylor, first vice-president; 
Frank G. Clark, second vice-president; R. J. Kepler, Jr., third vice- 
president; and J. O. Carr, fourth vice-president. 

C. C. Commander was returned as general manager; F. W. 
Davis, sales manager; Harold Crews, manager of the field depart- 
ment; E. E. Lines, advertising manager, E. D. Dow, traffic manager; 
A. B. Steuart, comptroller; W. T. Covode, cashier; O. M. Felix, 
secretary; and Judge William Hunter, attorney. 

With regard to the 1932-33 season itself, a report from the gen- 
eral manager covering its complications is enlightening: 

The season 1932-33 has presented a most pathetic picture from 
a marketing standpoint. For the first time in history, food sales 
per capita dropped heavily. A decrease of approximately 17 per 
cent was experienced during the year. 

The general features of the depression — unemployment, busi- 
ness stagnation, paralysis of credit facilities — are altogether too well 
known to require discussion. Suffice it to say that these conditions 
affected the marketing of Florida citrus during the 1932-33 season 
more than ever before in the history of the state. 

Sales were not decreased as occurred in the case of staple food 
products, but these causes made themselves evident with increased 
effectiveness in the returns realized. Disastrous competition with 
other food products loaded onto markets of starving buying power 
at sacrifice prices added a final touch to the already difficult situation. 

Added to the "difficult situation" outlined by General Manager 
Commander were other problems probably more inherent within 

131 



FIFTY YEARS OF CITRUS 

the industry itself. Again in the 1932-33 season, the average quality 
of the state's citrus crop was apparently subnormal. The increased 
activity in what was, of course, a "buyers' market" by the specula- 
tive interests, particularly the chain stores, worked to bring cooper- 
ative interests to a virtual checkmate. Truck shipments of unregu- 
lated, unstandardized quality continued throughout the season. 

Another difficulty is brought forth by General Manager Com- 
mander in his annual report for the 1932-33 season: 

The chief difficulty with which the industry is handicapped, 
however, remains its utter inability to regulate its volume of ship- 
ments from day to day or week to week in line with what the mar- 
ket can take, at a price representing a fair return to the producer. 
The law of supply and demand cannot be violated without penalty. 
If the supply of Florida citrus exceeds any given demand, an ad- 
verse price reaction immediately is experienced. 

This economic law was completely disregarded in the movement 
of the 1932-33 citrus crop. Heavier supplies were shipped to mar- 
kets from the state, regardless of the fact that the price was consis- 
tently downward. 

Nature produces on Florida citrus groves a greatly variable 
supply. The demand for this supply fluctuates with economic con- 
ditions and the effort put behind its stimulation. 

Some outside force, therefore, must be exercised to coordinate 
the factors of supply and demand before the economies of the situ- 
ation do so at a tremendous cost to the producers. 

Apparently in recognition of this situation, responsible leaders 
within the Florida citrus industry at that time attempted what the 
Exchange felt to be a most sincere and wholehearted effort to apply 
profitable control in regulating grapefruit shipments, the prices of 
which were already well in red ink. All control was turned over 
to a representative committee of five individual citrus men who 
were given full authority to act. They represented an estimated 
85 per cent of the grapefruit tonnage in the state and had the com- 
plete support of that percentage of the producers. Texas and Puerto 
Rican crops were off the market, leaving to Florida a virtual monop- 
oly on grapefruit. 

Although all circumstances seemed apparently favorable to this 
attempt at regulation for the benefit of producers, it is obvious that 
the plan failed. The 15 per cent of producers not subscribing to 
the plan flooded the markets with unregulated shipments of grape- 

1S2 



1932-1933 

fruit as prices began to rise. At any rate, the markets were broken 
after an initial substantial rise had been obtained. 

But the industry did not give up the idea of regulated distribu- 
tion and turned next to the state legislature for relief. It presented 
two bills for enactment by that body. The first of these proposed 
the creation of an agricultural commission, which would act upon 
petition of 75 per cent of any commodity, and would enforce 100 
per cent cooperation in its regulations. A second bill proposed 
definite regulations and control of standards. These bills, with 
considerable merit in both, were not enacted. General legislative 
instability caused by the tremendous state-wide economic difficul- 
ties seems to have doomed the citrus measures rather than organ- 
ized opposition. 

Reporting to his board on the death of the two proposals, Com- 
mander said, "Florida citrus growers, however, need not abandon 
hope for the effective application of these principles. The Federal 
government has considered the grant of similar controls in other 
industries operating nationally and in similar difficulties. With the 
failure of this state legislation, the industry should seek the cooper- 
ation of the Texas and California citrus industries in contacting the 
Federal government for the enactment of these principles into na- 
tional legislation." 

Although the final entry of Florida's citrus industry into the 
Federal Marketing Agreement did not become reality until May, 
1936, the necessity for control of shipments was at this time clearly 
apparent. There is little doubt that the ideas expressed above rep- 
resent fairly the viewpoint of the Exchange and subsequent support 
of the marketing agreement. 

With the failure of the industry to regulate successfully its ship- 
ments with as much as 85 per cent control, the Exchange was con- 
vinced that it had perhaps placed too much emphasis in the past on 
the procurement of tonnage control. This feeling was the basis of 
one of the most radical and effective policy changes in the history of 
the organization. All effort to obtain additional tonnage by grower 
persuasion, or by purchase, was abandoned. Activities not relating 
directly to the sale of grower-members' fruit were eliminated. The 
entire organization was placed on a basis competitive with other 
shippers in the industry. 

The natural advantages of superior volume and at-cost opera- 
tions were quickly adopted by the Exchange as a plan to make pos- 

133 



FIFTY YEARS OF CITRUS 

sible a far more favorable future development in tonnage. The 
theory of "dominant control" was forgotten. Competitive retain 
figures, lower than those of any other responsible sales agency in 
the state, were instigated, and the Exchange's merchandising and 
advertising programs were tailored to fit into the reduced retain 
figures. Sub-exchange operations, which had developed into an 
extremely complicated and cumbersome system through the years, 
were absorbed into the parent organization, which would hereafter 
deal directly with the associations in securing fruit on order. Great 
time and expense factors were saved in this reduction of force, and 
it was the concensus of the existing board members that the realign- 
ment would result in greater efficiency throughout the sales system. 

It seems certain that the difficulties experienced in the marketing 
of the 1932-33 season were crystallized into an appreciation by the 
board of the necessity for changes in the basic structure of the Flor- 
ida Citrus Exchange. These difficulties forced what was generally 
considered to be improvements in the entire Exchange system. It 
is interesting to note, too, that the depression produced another re- 
action which was to be of benefit to the industry for several years. 
The insistent demand for a substantial reduction of the money 
spread between the delivered price and the growers return on the 
trees had fostered the development of a large-scale increase in the 
use of water transportation in the movement of citrus. During the 
1931-32 season, water transport facilities carried only about 7 
per cent of the total citrus crop. Economic necessity increased this 
total to nearly 23 per cent during the 1932-33 season, with most of 
the loss falling to the railroads. 

Along with the realignment of the Exchange system, the field 
and organization departments were eliminated late in the 1932-33 
season. The Exchange's inspection service was continued under 
the direct supervision of the general manager. And with the elim- 
ination of sub-exchange offices, the state was divided into four dis- 
tricts headed by district managers in the employ of the Tampa 
office. Generally, these districts included the northern half of the 
citrus belt in District 1, the central section of the belt in District 2, 
the west coast citrus areas in District 3, and the east coast citrus 
producing area in District 4. While there were many other changes 
in the operational structure of the Exchange during this period, 
they were mostly departmental adjustments made necessary by 
those changes already outlined in some detail. 

1S4 



1932-1933 

The most revealing aspect of the difficult 1932-33 season was 
the unrelenting pressure applied by economics for changes in the 
entire concept of the Florida Citrus Exchange. It must be remem- 
bered that prior to the 1932-33 season, the Exchange had grown 
into a cumbersome organization with fingers in almost every phase 
of the industry. What it had become was the result of the some- 
times careful, sometimes tempestuous, always enlarging action of 
its boards based on actions of prior boards. It is unlikely that any- 
thing short of the economic pressures of the times could have de- 
ployed this inertia so effectively as to have caused almost complete 
reversals of idea and opinion that had been built up within the Ex- 
change during the course of the preceding twenty-three years. 



135 



CHAPTER 20 



1933^1934 



THE ANNUAL meeting of the Florida Cit- 
rus Exchange for the 1932-33 season took place on June 8, 1933. 
The board of directors for the 1933-34 season as finally seated in- 
cluded J. C. Chase of Sanford representing the Chase Sub-Exchange, 
Frank G. Clark of Indian River City representing Dade and Indian 
River sub-exchanges, J. O. Carr of Fort Ogden representing DeSoto 
Sub-Exchange, John A. Snively of Winter Haven representing Flor- 
ence Villa Sub-Exchange, C. B. Hipson of Umatilla representing 
Lake and Marion sub-exchanges, B. E. Stall of Tampa representing 
Hillsborough Sub-Exchange, L. L. Lowry of Tampa representing 
the International Sub-Exchange, J. G. Grossenbacher of Plymouth 
representing Lake Apopka Sub-Exchange, Charles B. Anderson of 
Tampa representing Lake Region Sub-Exchange, Lee S. Day of 
Bradenton representing Manatee Sub-Exchange, C. A. Garrett of 
Kissimmee representing Orange Sub-Exchange, John S. Taylor of 
Largo representing Pinellas Sub-Exchange, George W. Mershon of 
Lakeland representing Polk Sub-Exchange, J. D. Clark of Waverly 
representing Ridge Sub-Exchange, L. T. Farmer of DeSoto City 
representing Scenic Sub-Exchange, A. W. Hurley of Winter Garden 
representing Seminole-Orange Sub-Exchange, Francis P. Whitehair 
of DeLand representing St. Johns River Sub-Exchange, and H. E. 
Cornell of Winter Haven representing Winter Haven Sub-Exchange. 
Officers and department heads elected for the 1933-34 season 
were John S. Taylor, president and chairman of the board; John A. 

186 



1933-1934 

Snively, first vice-president; Frank G. Clark, second vice-president, 
A. W. Hurley, third vice-president; J. O. Carr, fourth vice-presi- 
dent; C. C. Commander, general manager; E. E. Patterson, sales 
manager; Harold Crews, assistant to the general manager; E. E. 
Lines, advertising manager; L. D. Aulls, traffic manager; A. B. 
Steuart, comptroller; W. T. Covode, cashier; O. M. Felix, secretary; 
and Judge William Hunter, attorney. 

On August 4, at its regular meeting, the board was notified of 
the resignation of John D. Clark as a member. D. A. Hunt was 
subsequently seated to replace Clark. 

One interesting development in the structure of the Exchange 
took place on June 23, 1933, when the combined boards of the Ex- 
change and the Growers Loan and Guaranty Company resolved to 
consolidate their legal departments into one expanded department 
for more efficiency and elimination of delay in legal matters. On 
September 27, 1933, the board authorized the retention of Judge 
William Hunter as the chief counselor until the next annual meet- 
ing of the organization. The attorney who had been acting on be- 
half of the Growers Loan and Guaranty Company, L. M. Turner, 
was to become an assistant to Hunter, and a young attorney from 
Sanford, Counts Johnson, was employed to serve also as an assistant 
attorney. Johnson, who began his tenure of service with the Ex- 
change soon after, was to continue his association with the organiza- 
tion for many years. At the time of this writing, June, 1959, he re- 
mains as secretary of both the Growers Loan and Guaranty Com- 
pany and the Florida Citrus Exchange and acts as legal counsel for 
all Exchange activities. 

During the 1933-34 season the Exchange apparently began to 
shake off the results of the declining depression. Celebrating its 
Silver Anniversary during this season, the Exchange could take note 
of more favorable circumstances both within the industry and with- 
in the organization. A Silver Anniversary brochure published by 
the Exchange had this to say: 

In its 25th year the Exchange passed a quarter-century total of 
the first hundred million boxes of Florida oranges, grapefruit, and 
tangerines sold through the far-reaching facilities built up through 
the years to provide wider markets for the fruit of Exchange grower- 
members. 

Back of any enduring organization will be found a substantial 
reason for its existence. The Exchange was conceived to render 

1S7 



FIFTY YEARS OF CITRUS 

a needed service, under appropriate grower control and ownership. 
Following its first year of pioneering in the industry, the Florida 
Citrus Exchange found ample opportunity for the splendid energy 
of its leaders. Many of the accomplishments of the Exchange, begun 
in the interest of its grower-members, have resulted in widespread 
benefit to the Florida citrus industry as a whole. 

The brochure, in a summary of highlights of the twenty-five years, 
cited the sale of the 100,000,000 boxes at a gross return of $361,000,- 
000. It acclaimed the development of sales promotion for seald 
sweet and mor- juice brands through sixteen Exchange Offices in 
Northern markets, and proudly noted that it had the highest type 
of representation in 145 other markets in 46 states. It pointed out 
that the Exchange was also ably represented in overseas export 
markets. Total advertising effort on brands alone was listed as 
nearly $500,000 during the years preceding, and the brochure claim- 
ed a total roster of growers in excess of 6,000 members. It concluded 
with this summary: 

Thus, the ideals of leaders who visioned the Exchange 25 years 
ago, have come true in fact today. Thus Exchange service marches 
on toward a greater tomorrow. And what better test of the worth 
of the Exchange service could there be than the fact that in all 
five districts of the state, greatly increased Exchange tonnage is 
reported for 1934-35. The second hundred million is on the way. 

The district manager plan, mentioned in the preceding chapter, 
had developed by September, 1933, to the extent that three man- 
agers had already been appointed by the board. They were L. A. 
Hakes in District 1, O. J. Harvey in District 3, and G. R. Brooks in 
District 4. 

On November 17, 1933, the board had asked the Farm Credit 
Administration for an extension of credit terms involved in loans 
that had been utilized for mergers and outright purchase of pack- 
ing facilities in some cases during the depression. In a resolution 
on that date, the board asked that the Farm Credit Association 
study the Exchange's audits and balance sheets as a prerequisite 
to granting additional time for the repayment of certain phases of 
these loans. It also asked that the study include a survey of all 
Exchange policies and operations, and make suggestions as to 
how the operational procedures of the cooperative could be im- 
proved. 

1S8 



1933-1934 

The result of this study was handed to the board at its meeting 
of April 12, 1934, in the form of a lengthy letter written by J. W. 
Jones, a representative of the Farm Credit Administration. While 
much of the letter dealt with specific details not important to the 
history or progress of the Exchange, one section of the paper seems 
to represent an unbiased description of the organization's marketing 
problems of this period. This section of the letter noted: 

The Florida Citrus Exchange, like any other marketing agency, 
is faced with the problem of adjusting its methods to constantly 
changing conditions. Probably no other five-year period has seen 
marketing conditions more rapidly shifting and drastically changed 
than those witnessed during the last five years. A declining 
price level which made buyers of fruit unwilling to assume the risk 
of the price change between loading the car and arrival in the mar- 
ket has affected f.o.b. sales and increased the percentage of 
citrus fruit going to auctions. The credit stringency in Eastern 
markets has also contributed to this change. 

The increasing use of motor trucks and boats for the transpor- 
tation of fruit has almost revolutionized the method of doing busi- 
ness in some markets. But the motor trucks and boats are apparent- 
ly here to stay and means and methods must be found to take ad- 
vantage of these means of transportation. The produce trade in 
metropolitan markets is making some adjustments and will make 
still further adjustments to meet these conditions. One of the most 
serious marketing problems affecting the Florida Citrus Exchange 
has arisen in the increase of the use of motor trucks and shipment 
of fruit without packing in the standard container. 

It seems to me that the evils of the truck have arisen because 
the transportation and merchandising are being performed by the 
same agency — the trucker. Similar confusion would exist in the 
marketing of boxed fruit if the railroads serving metropolitan areas 
purchased fruit in Florida, transported it to market, and they them- 
selves engaged in the merchandising of it. It seems that the Flor- 
ida Citrus Exchange would lessen the confusion caused by motor 
trucks if it would itself do the merchandising in Southeastern mar- 
kets and employ trucks as a transportation agency for the service 
of transportation only. 

Some order might be put in the bulk-fruit movement in the 
Southeastern markets if this policy was inaugurated. It seems 
that opinion is divided as to the merits of shipping bulk fruit. On 
the other hand it seems the movement of fruit in bulk into some 
markets has become an established practice. Some degree of control 

239 



FIFTY YEARS OF CITRUS 

of the movement of bulk fruit may be established before another 
season through the Agricultural Adjustment Administration and the 
Florida Control Committee. 

The Exchange should develop methods of selling that will en- 
able it to sell to any agency that will pay the highest price for fruit, 
and let the purchaser select the method of transportation and the 
container so long as the price of purchase is in line with the price 
that may be secured through other methods of distribution. Of 
course, the coordination of truck and bulk sales will be necessary 
to prevent price chiseling and unequal bargaining. It seems in- 
advisable to attempt the fixing of a uniform price on all sales to 
trucks because of the differences in the quality of fruit. For in- 
stance, a uniform price is not even secured on the New York auction. 
On the other hand local packing houses should work closely with 
district managers and the sales department on all sales that involve 
transportation by truck. 

At the regular meeting of the board on May 18, 1934, an ex- 
change of communications between the Exchange National Bank 
of Winter Haven and the Florida Citrus Exchange discussed the 
not inconsiderable assistance given by the Exchange to the federal 
government for use in the establishment of the Federal Citrus By- 
products Laboratory at Winter Haven. 

April 24, 1934 
Florida Citrus Exchange 
Tampa, Florida 
Gentlemen: 

In August, 1931, you kindly contributed to a $6000.00 fund 
to be used in furnishing quarters, including building and 
grounds, for a Federal citrus by-products laboratory, and these 
funds were paid in to this bank as trustee and we hold the title 
to this property in trust for the various contributors to the fund. 

The Federal Government established the laboratory and has 
been making splendid progress in research work in citrus by- 
products. We are anxious to have the Government extend this 
work and we are advised that this may not be done unless the 
Government itself owns the property, and this letter is for the 
purpose of requesting permission for this bank, as trustee, to 
deed to the U.S. the property now being used as a citrus lab- 
oratory. 

Will you please consider this matter, and if agreeable to 
you, will you so advise us in writing giving permission that this 

140 



1933-1934 

bank, as trustee of the fund, may deed the same to the U.S. by 

Special Warranty Deed? 

We will greatly appreciate your immediate attention, and 

awaiting your response, we are 

Respectfully yours, 

/S/ L. B. Anderson 

L. B. Anderson 

Vice President, 

Exchange National Bank of 

Winter Haven 

A resolution of the board of directors, Florida Citrus Exchange, 
was returned to the Exchange National Bank of Winter Haven 
granting the permission requested in the foregoing letter: 

Whereas, the Florida Citrus Exchange, in October 1931, ap- 
propriated and contributed the sum of Two Thousand Dollars to a 
Six Thousand Dollar fund to be used in furnishing quarters, in- 
cluding building and grounds, for a Federal citrus by-products 
laboratory, and such funds were paid to Exchange National Bank 
of Winter Haven, Winter Haven, Florida, as trustee, which trustee 
holds the title to the property purchased with such funds in trust 
for various contributors, and 

Whereas, the Federal Government has heretofore established 
such laboratory and has made splendid progress in research work 
in citrus by-products, and it is now expedient and advisable that 
the Federal Government extend this work, and 

Whereas, it is understood that no appreciable extension of such 
research work can be done unless the Government itself owns such 
property, now therefore 

Be it Resolved by the Board of Directors of the Florida 
Citrus Exchange in Regular Meeting Duly Assembled: 

That the Florida Citrus Exchange does hereby consent to Ex- 
change National Bank of Winter Haven, Winter Haven, Florida, 
as trustees, conveying to the United States of America, or its nom- 
inee, by proper special warranty deed, all of the aforementioned 
property and quarters, including buildings and grounds, situate in 
Winter Haven, Florida, and said Florida Citrus Exchange does 
hereby renounce and disclaim in favor of the United States of 
America, any and all right title and/or interest in and to said prop- 
erty and every part thereof. 

That the President and Secretary of the Florida Citrus Exchange 
be and they are hereby authorized and empowered to make and 
execute such written instrument or instruments as may be neces- 

141 



FIFTY YEARS OF CITRUS 

sary to enable and fully authorize said Exchange National Bank of 
Winter Haven, as trustee, to transfer title to such property to the 
United States of America, or its nominee. 

The closing days of the 1933-34 season brought with them the 
resignation from the board of John A. Snively of Winter Haven. A 
member of the board of Florence Villa Citrus Growers Asso- 
ciation for twenty-one years, and a director of the Florida Citrus 
Exchange for twelve years, Snively had also served one full term 
as president of the Exchange. While his reasons for resignation 
are not officially recorded, a resolution of high esteem for him was 
documented by the board in the official minutes of the organization. 
W. C. Van Clief of Winter Haven was later named by the Florence 
Villa Citrus Growers Association to the vacancy left by Snively. 

It is interesting to note, in a review of the activities of the Ex- 
change during the 1933-34 season, that a resolution appears in the 
records of the annual meeting on June 7, 1934, with regard to the 
discontinuance of the Exchange in all grapefruit canning interests: 

Be It Resolved. . . that the marketing of canned grapefruit and 
canned grapefruit juice by the Florida Citrus Exchange be and the 
same is hereby discontinued, and that hereafter none of the opera- 
tions of any cannery engaged in canning grapefruit and/or canning 
grapefruit juice shall in any manner whatsoever, directly or in- 
directly, be financed by the Florida Citrus Exchange. 

Thus came the full cycle of the interests of the Exchange which 
began with fresh fruit, slowly extended its interests into virtually 
all phases of research, and into the canning of citrus, and finally 
returned to the exclusive interest of the marketing of fresh citrus 
fruit for its members. 



142 



CHAPTER 21 



1934*1935 



THE 1934-35 season was to be for the Ex- 
change, as well as the entire Florida citrus industry, a period of 
economic conflictions and alternating hope and despair. But it did 
see the enactment of state legislation establishing the Florida Citrus 
Commission which, in the final analysis, was to set the stage for a 
period of unheralded citrus prosperity which has continued to pres- 
ent times. 

Because it had much to do with the progress of these develop- 
ments, the board of directors of the Florida Citrus Exchange during 
the 1934-35 season was to share responsibility with other important 
industry representatives in laying a course for the future. The 
board included Frank G. Clark of Indian River City, J. O. Carr of 
Fort Ogden, W. C. Van Clief of Winter Haven, C. B. Hipson of 
Umatilla, B. E. Stall of Tampa, L. L. Lowry of Tampa, J. C. Palmer 
of Windermere, Charles B. Anderson of Tampa, Lee S. Day of 
Bradenton, C. A. Garrett of Kissimmee, John S. Taylor of Largo, 
George W. Mershon of Lakeland, D. A. Hunt of Lake Wales, C. 
H. Walker of Bartow, A. W. Hurley of Winter Garden, Francis P. 
Whitehair of DeLand, and H. E. Cornell of Winter Haven. 

President of the Exchange during the season was John S. Tay- 
lor. Frank G. Clark was first vice-president; A. W. Hurley, second 
vice-president; J. O. Carr, third vice-president; L. L. Lowry, fourth 
vice-president; C. C. Commander, general manager; E. E. Patter- 
son, sales manager; Harold Crews, assistant to the general manager; 

143 



FIFTY YEARS OF CITRUS 

Earl Lines, advertising manager; L. D. Aulls, traffic manager, S. L. 
Looney, treasurer-comptroller; W. T. Covode, cashier; O. M. Felix, 
secretary; and William Hunter, attorney. 

With regard to the season itself, the Florida citrus industry at 
first faced a most difficult marketing situation as the harvest com- 
menced in September. The estimated volume of the Florida crop 
was approximately 36,000,000 boxes. Grapefruit volume in Texas 
was expected to double the 1933-34 volume with an estimated 3,000,- 
000 boxes. California was expected to produce an unprecedented 
volume of oranges, both Navels and Valencias. Altogether, experts 
could foresee nearly 100,000,000 boxes of citrus being marketed, a 
volume that had never before been reached in the citrus history. 
This situation, of course, presented a formidable marketing prob- 
lem, and records indicate that the outlook for the Exchange was a 
gloomy one. 

The early part of the season was difficult for all Florida citrus 
as had been expected. The Federal Marketing Agreement was 
eventually declared effective on December 18, which under nor- 
mal circumstances would have been cause for optimism within the 
industry. The Marketing Agreement, however, was preceded one 
week by the disastrous freezes of December 11 and 12, 1934. The 
freezes, of course, made altogether impractical any assistance 
through the Agreement for the industry. 

Florida citrus was not alone in its troubles. Texas suffered 
from windstorms and from a series of critical freezes. Palestine had 
severe losses and Spain experienced one of its most disastrous freezes 
of all time. But citrus difficulties in Florida during five years of 
economic depression, hurricanes, freezes, and Med-fly losses made 
the situation more serious in Florida, perhaps, than in any other 
citrus-producing area. But in the face of all these handicaps, Flor- 
ida managed to ship a volume of citrus during the season nearly 
equal to that shipped during the previous season. The Exchange 
made gains in membership and acreage which increased its total 
annual volume by an estimated 4 per cent over the 1933-34 season, 
despite the withdrawal of the large Chase and Company organiza- 
tion from the Exchange. 

The increasing production of citrus fruits in Florida, as well as 
in other producing areas, combined with the still retarded purchas- 
ing power of the nation, seemed to indicate that the Florida citrus 
industry must adopt and adhere to a more rational and businesslike 

144 



1934-1935 

handling of marketing problems. The problem inherent in the in- 
creased production of citrus had become urgent. The moment for 
decisive action was at hand — a situation recognized by a great por- 
tion of the industry. Coordinated effort in shipments and in mer- 
chandising, expansion of markets, and the development of consumer 
demand for Florida citrus could no longer be prolonged. 

In an atmosphere of adversity, the Florida citrus industry ex- 
hibited unprecedented cooperative logic in turning to the state 
legislature for the answer to its pressing problems. For its part in 
the development of the citrus legislative program for the 1935 ses- 
sion of the state legislature, the Florida Citrus Exchange appointed 
a committee of its board to assist its president, John S. Taylor, and 
general manager in cooperation with other industrial factors in 
the formulation of a legislative program for the improvement of the 
citrus industry. Appointed to this committee were C. H. Walker, 
H. E. Cornell, and Frank G. Clark. The Exchange's committee was 
appointed on February 15, 1935, and immediately joined with a 
committee of Associated Growers and Shippers of Florida to draft 
legislative proposals. The Associated committee included L. P. 
Kirkland, Barney Kilgore, N. H. Vissering, W. H. Mouser, and H. 
C. Case. 

Placing itself at the service of the joint committee was a platoon 
of attorneys including Judge Spessard L. Holland of Bartow, Judge 
O. K. Reeves of Tampa, Judge William Hunter of the Exchange, 
Governor Doyle Carlton of Tampa, Counts Johnson of the Ex- 
change, C. E. Ware of Clearwater, and E. G. Grimes of Palmetto. 

The various meetings held by the joint committees, according 
to records still available, were attended by prominent citrus grow- 
ers and shippers throughout the state including C. C. Commander, 
R. B. Woolfolk, W. J. Howey, and Latt Maxcy. Meetings were held 
at Lakeland on February 26, 1935, at Tampa on March 4, 1935, at 
Lakeland on March 6, 1935, at Lakeland on March 20, 1935, at 
Tampa on March 27, 1935, at Lakeland on April 1, 1935, and again 
at Lakeland on April 18, 1935. At these meetings were prepared 
bills known as Florida Citrus Commission Act, Licensing and 
Bonding Act, Growers' Cost Guarantee Act, Citrus Maturity Act, 
Advertising Acts, Field Box Act, Color-Added Act, and the Prorate 
Act. Once drafted and approved by the joint committee, the legis- 
lative proposals were taken to Tallahassee where a joint house and 
senate citrus committee public hearing was scheduled for April 11, 

145 



FIFTY YEARS OF CITRUS 

1935. The hearing was attended by a large number of prominent 
citrus growers and shippers from all sections of the state, including 
all members of the joint committee and many other leading business 
men who were vitally interested in the welfare of the Florida citrus 
industry. 

On June 6, 1935, the Exchange's legislative committee reported 
to the board with the following communication: 

Supplementing a previous report made to this Board on April 
19, your Citrus Legislative Committee wishes to file the following 
information in completion of its work which has extended over a 
period of four months, necessitating considerable time and travel, 
and commanded the full cooperation of many factors throughout 
the industry and the state. 

Eleven preliminary meetings were held in the drafting of the 
legislation. Some of these lasted all day. They were open to all 
growers and many prominent growers attended various sessions and 
participated in the discussions, which finally resulted in a unani- 
mous presentation. 

Six weeks' work was necessary at Tallahassee. 

Nine bills in all were drawn for presentation to the state legis- 
lature as follows: 

1. A stabilization measure with provision for a State Citrus Com- 
mission. 

2. Maturities Act. 

3. Advertising (three bills). 

4. Licensing and Bonding Citrus Fruit Dealers. 

5. Field Box Act. 

6. Control over Color- Added Applications. 

7. Growers' Cost Guaranty Bill. 

The Florida Citrus Commission will have a wide scope of author- 
ity for the stabilization and protection of the reputation of the Flor- 
ida citrus fruits, on inspection and grading, all under the Commis- 
sioner of Agriculture of the State of Florida. The Commission 
will consist of eleven practical citrus fruit men of Florida, appointed 
by the Governor to establish grades and identifications and to cause 
prosecution for violations of these provisions. The Commission 
will be required to make an annual report to the Governor, and all 
rules, regulations, and orders by the Commission must be proposed 
in advance of the date upon which they become effective and are 
subject to protests and hearings. 

The citrus maturity act makes it unlawful to sell or transport, 
except in the case of tree sales, any citrus fruits between the 31st 

146 



1934-1935 

of August and the 1st of December of any year unless such fruit 
is certified to be mature and a certificate of inspection and matur- 
ity provided, according to the rules and regulations of the State 
Commission. For grapefruit, the Act specifies the required juice 
content for all sizes. For oranges, the ratio of total soluble solids 
to anhydrous citric acid must not be less than 8 to 1; for tangerines 
7.5 to 1. Vendors or shippers will pay the inspection fee of one 
cent per box, if that be required for the service, otherwise a lesser 
amount to be determined by the Governor and Commissioner of 
Agriculture. Provision is made for extending maturity inspection 
beyond the date, December 1st, during the seasons of late maturity 
or irregular bloom. 

Three separate bills are proposed on advertising: one for or- 
anges, one for grapefruit, one for tangerines. The Preamble of this 
Act states that it is to conserve and promote the prosperity and 
welfare of the industry by promoting the sales of oranges, grape- 
fruit, and tangerines, through publicity, advertising, and sales pro- 
motion campaigns to increase the consumption of such fruits. The 
State Commission is empowered to set up the machinery and make 
contracts for carrying out the provisions of this Act which involves 
assessments in the form of an excise tax upon each box of tanger- 
ines at five cents. 

The fourth bill provides for the licensing and bonding of citrus 
fruit dealers through the State Commissioner of Agriculture. Li- 
cense fees are established and penalties for violations are prescrib- 
ed. Under the Licensing and Bonding Bill, all operators, shippers, 
and buyers, including trucks, will be required to keep records and 
to carry out contracts, operating under the rules and regulations of 
the State Commissioner. 

The Field Box Act is for the protection of owners of registered 
containers and sets up a procedure whereby through proper filing 
of identification marks for such containers, then the same become 
prima facie evidence of ownership. It would be unlawful under 
this Act to possess the containers of another person or corporation. 

The bill on Color-Added provides for state control to coordinate 
with provisions of the Pure Food and Drug Act under the Agricul- 
tural Department. It would thus become unlawful for any person 
to use or apply coloring matter to citrus fruit unless same were in 
accordance with state and federal requirements. 

A Grower's Cost Guaranty Bill provides that under an emer- 
gency, growers may petition for the determination of the cost of 
production which cost would be guaranteed the grower on his 
sales. This bill, patterned much after the New York Milk Bill, may 

147 



FIFTY YEARS OF CITRUS 

prove to be the means of stabilizing prices at levels that would pre- 
vent red ink shipments and red ink investments in production of 
citrus. 

The above program makes possible the many fundamentals of 
merchandising, such as advertising, standardization, ethical prac- 
tices, etc., which the Florida Citrus Exchange has advocated for 
many years. Now, the growers of the state are assured of the legal 
machinery for improving many marketing ills. Under this legisla- 
tion, the advertising of Florida citrus becomes a reality, and also 
becomes an equal responsibility upon all, just as the benefits will 
accrue to all. Markets can be developed and consumers can be ac- 
quainted with the seasons and with the values in Florida citrus. 
This will reinforce our own advertising and merchandising consid- 
erably and improve the relative position of Florida citrus in the 
markets. 

Steering these bills through both houses of the legislature was 
no easy matter. First, following their introduction in the Senate, 
came the plea for a public hearing which was held and which was 
attended by your committee and representative Exchange growers. 
There was some opposition to some features of the various bills. 

In the House various amendments were proposed and it ap- 
peared for a few weeks as though the program might be defeated. 

The amended bills went to Conference where after long debate 
and consideration an agreement was finally reached near the close 
of the legislative sessions, but not until much work had been done 
to acquaint the members that the proposed program was a balance 
and a much needed one in Florida. 

In final amended form all bills passed, and are now in progress 
through the Governor's hands for signature and appointment of the 
Stabilization Commission. Such amendments as now appear with 
the bills do not, in our opinion, alter the original purposes and 
functioning. 

We now commend the legislative program to you as an accom- 
plished fact and ask to be discharged. 

C. H. Walker, Chairman 
H. E. Cornell 
Frank G. Clark 

In the opinion of this writer, it is doubtful if any of the primary 
interests in the activities prior to and during the enactment of the 
Florida citrus legislation of 1935 could have realized at that time the 
exceptional importance of what was to become the Florida Citrus 
Code in meeting many of the problems of the Florida citrus industry. 

148 



1934-1935 

This era cannot be passed over without mention of the death 
during the season of a dedicated Exchange employee. Judge Wil- 
liam Hunter, who had served as the Exchange's legal counsel since 
shortly after the organization of the cooperative, died on May 25, 
1935. Judge Hunter's death was followed in July by the death of 
William Edwards, long-time member of the Exchange who had 
served as its president during the 1932-33 season. 

As the complicated 1934-35 season drew to a close, it is obvious 
that signs of better times were apparent to those associated with the 
Exchange. Of importance were the slowly improving economic 
circumstances of the nation which heralded greater buying power 
on the markets. Of equal importance was the enactment of state 
legislation designed to correct many of the evils within the indus- 
try. It is interesting to review the text of an address by General 
Manager Commander at the close of the 1934-35 season: 

It really begins to look as though better days might be expected. 
Surely, if the fundamentals of good business are recognized and 
followed, Florida citrus growers will be happy again. Cooperation 
and coordination are necessary, however. 

Increased efficiency and greater economies will accrue to the 
Florida Citrus Exchange with the continuation of harmonious rela- 
tions and efforts. With everyone pulling together, with shoulders 
to the wheel in a combined effort to build up and to improve our 
situation as growers, the Florida Citrus Exchange will progress 
steadily and will be thus better able to continue its fight for the 
growers of the industry. 

To the many active citrus leaders of today who were involved in 
the happenings of the 1934-35 season the thought must come now 
that they were present at the conclusion of a well-defined period 
in the history of the citrus industry. For with the enactment of 
the legislation of 1935, the rollicking, daredevil, up-and-down acro- 
batics of an industry in complete conflict with itself approached 
conclusion. A combination of the right men in the right place at 
exactly the right opportunity had finally succeeded in attaining a 
moment of cooperation. In that moment the Florida citrus industry 
rang down the curtain on its formative years and graduated into 
an era of difficult transition. 



149 



CHAPTER 22 



1935^1936 



WHILE the board of the Florida Citrus Ex- 
change for the 1934-35 season was responsible for many efforts in 
connection with the state legislation, it fell to the 1935-36 board to 
correlate this legislation with the structure of the Exchange. This 
board, seated on June 6, 1935, included H. G. Putnam of Oak Hill, 
J. O. Carr of Fort Ogden, W. C. Van Clief of Winter Haven, B. E. 
Stall of Tampa, L. L. Lowry of Tampa, C. B. Hipson of Umatilla, 
J. C. Palmer of Windermere, Charles B. Anderson of Tampa, Lee 
S. Day of Bradenton, Charles A. Garrett of Kissimmee, John S. 
Taylor of Largo, George W. Mershon of Lakeland, D. A. Hunt of 
Lake Wales, C. H. Walker of Bartow, A. W. Hurley of Winter Gar- 
den, Francis P. Whitehair of DeLand, and H. E. Cornell of Winter 
Haven. 

Officers and department heads for the season included John S. 
Taylor, president and chairman of the board; W. C. Van Clief, 
first vice-president; A. W. Hurley, second vice-president; J. O. Carr, 
third vice-president; L. L. Lowry, fourth vice-president; C. C. 
Commander, general manager; Harold Crews, assistant general 
manager; E. E. Patterson, sales manager; Earl Lines, advertising 
manager; L. D. Aulls, traffic manager; S. L. Looney, treasurer- 
comptroller; O. M. Felix, secretary; and Counts Johnson, attorney. 

Sub-exchanges of the Central Exchange included Dade and 
Indian River, DeSoto, Florence Villa, Hillsborough, International, 
Lake and Marion, Lake Apopka, Lake Region, Manatee, Orange, 

150 



1935-1936 

Pinellas, Polk, Ridge, Scenic, St. Johns River, Seminole-Orange, and 
Winter Haven. 

During the shipping season of 1935-36, a combination of several 
factors served to increase the price level for Florida citrus fruits. 
While these conditions affected the entire Florida citrus crop fav- 
orably, active Exchange merchandising and sales facilities apparent- 
ly took greater advantage of them than the average shipper. At 
any rate, the Exchange moved a greater volume of fruit at a con- 
siderably increased gross revenue over the state average. The im- 
proved situation within both the Exchange and the industry was 
apparently caused by three specific factors: better quality, improved 
economic conditions and increased buying power, and the coordin- 
ation of industry factors in merchandising and standardization of 
grades. While the freezes of 1934 had sharply reduced the citrus 
volume for the 1934-35 season and had adversely affected quality, 
these factors had disappeared by the 1935-36 season. The crop 
as a whole was of unusually good quality, juice content, and flavor. 
Trade and consumer acceptance was felt favorable and demand 
was relatively high. By the close of the 1935-36 season, the outlook 
for the 1936-37 season was considered as particularly good. 

From all available correspondence and records of the 1935-36 
season, it is apparent that retailers, wholesalers, jobbers, and dis- 
tributors in the markets were reporting a steady and healthy de- 
mand during the entire season. 

The lower volume of better-quality fruit moved into markets 
that were experiencing continued improving economic circum- 
stances. Midwest markets were stronger than they had been in 
more than five years and markets in the East were showing even 
greater capacities for the purchase of Florida citrus. Southern 
markets bought heavily of packed fruit for the first time in four 
seasons. The greatly improved markets were attributed to increas- 
ed buying power across the nation, but coupled to this economic 
factor was surely the effect of the state regulations preventing in- 
discriminate shipping of unpacked fruit through subnormal trade 
channels. 

Another major factor causing improved markets during the 
season was the result of what the Exchange considered to be better 
merchandising and coordination throughout the Florida citrus in- 
dustry. There is no doubt that this was due to the rigid enforce- 
ment of the new state citrus legislation. An additional stimulant 

151 



FIFTY YEARS OF CITRUS 

to sales resulted from the state citrus advertising campaign, which 
tended to reduce consumer sales resistance to Florida citrus that 
had been excessively activated by the lower quality of the immedi- 
ately preceding years. 

After considerable negotiation throughout the 1935-36 season, 
the Florida Citrus Exchange, along with other interests, succeeded 
in arranging a new Federal Marketing Agreement to replace the 
agriculture agreement of the 1934-35 season which Secretary of 
Agriculture Henry Wallace had terminated at the request of a small 
group of influential Florida citrus growers. The new agreement 
went into effect on May 8, 1936. Designed to help regulate the 
flow of fruit from Florida into its markets by making possible pro- 
ration by grade, size, and volume, the agreement was generally 
favorably received by most of the industry. Members of the Flor- 
ida Citrus Commission, under the agreement, were named as the 
control committee responsible for the administration of prorate pro- 
visions through the Agricultural Adjustment Administration. Prop- 
erly administered, the Exchange felt that the Federal Marketing 
Agreement would assist materially in stabilizing markets by regu- 
lating the volume and market acceptance of shipments to the then 
existing demand. 

Statistics of Exchange sales during the 1935-36 season show that 
the Florida Citrus Exchange had not only shipped more fruit and 
a greater percentage of the total crop, but had returned more money 
to its growers than all other competitive shippers in the state. Ex- 
change f.o.b. shipments for the 1935-38 season increased by nearly 
30 per cent, mostly as a result of the direct contact between the 
Tampa sales office and the associations, coupled with the flexibility 
afforded through the district manager system. Under the revised 
system, the Exchange found that special orders were filled far more 
promptly and accurately than by the old sub-exchange method, 
under which orders frequently were lost to competitors because of 
hesitancy and delay. 

In the export field, the Exchange led the industry in a move to 
include citrus fruits in reciprocal trade agreements with Canada. 
An extensive brief was prepared and filed with the Tariff Commis- 
sion in Washington on March 5, 1935, with a formal hearing held 
on March 12. On September 15 special notice of these negotiations 
was made, and on November 15 the new reciprocal trade agreement 
between the United States and Canada was signed. 

152 



1935-1936 

Features of the new agreement were exceptionally favorable to 
Florida. Prior to the signing of the new trade pact, tariff duties on 
oranges shipped into Canada from the United States were seventy 
cents per box. The new agreement eliminated all tariffs for the 
months of January, February, March, and April. The tariff on 
grapefruit was reduced from one cent to one-half cent per pound. 
Under these revised tariff conditions, the Canadian market was re- 
opened to American citrus, broadening the marketing potential of 
Florida citrus to a considerable extent. Also, almost immediately, 
the movement of heavy volumes of California citrus onto the 
Canadian market resulted in more favorable conditions for Florida 
on the Eastern domestic markets. 

Florida citrus canneries, which had packed over six million cases 
of citrus products during the 1934-35 season, decreased their utili- 
zation in the 1935-36 season to around four million cases. None- 
theless, the average pack of five million cases per season for the two- 
year period indicated that the Florida citrus canning industry had 
grown to a size which would assure its permanency. With refer- 
ence to the canning industry, it must be noted that much of the 
volume utilized by canners had been purchased from growers at 
prices far below the cost of production. This factor was cause for 
alarm and was considered by the Exchange to be of serious detri- 
ment to the industry. By the close of the season, however, canner- 
ies were paying at an improved level for canning-grade fruit. This 
fact alone, in a review of the situation, seems to have placed confi- 
dence of the industry in the ability of the canners to produce and 
market their products at prices which would compensate the grower 
at least at a rate equivalent to his cost of production. 

The Exchange's advertising and sales promotion activities, which 
had continued to function under curtailed conditions during the 
depression years, showed evidence of returning to something near 
what was felt to be a desirable level. Large two-sheet posters in 
New York subways and in Chicago elevated and surface railway 
stations featured the seald sweet and mor- juice products through- 
out the winter and spring months. It was estimated that two to 
three million city dwellers were exposed to these posters each day. 
Window, counter, and floor displays were erected by Exchange 
dealer service men in over sixteen thousand stores throughout the 
nation in a rejuvenated point-of-sale program. Independent mer- 
chants and chain-store groups apparently cooperated enthusiastical- 

153 



FIFTY YEARS OF CITRUS 

ly with the Exchange during this period. A series of local adver- 
tising campaigns using newspapers or radio, or in some instances 
both media, was carried on in cooperation with the distributing and 
retail trade, and more than ten thousand Exchange folders, health 
booklets, and other pieces of literature were distributed by the Ex- 
change during the season. 

It is timely to mention in this chapter that the cooperative plan 
and aims of the Florida Citrus Exchange in rendering its service 
to growers and associations in the marketing of fruit continued to 
include the indispensable operations of the Growers Loan and Guar- 
anty Company and the Exchange Supply Company. In nineteen 
years of service to Exchange members, the Growers Loan and Guar- 
anty Company had by this time lent more than $31,000,000 during 
both good and bad times to assist Exchange members. Liquidating 
its credit obligations accumulated during the depression, and car- 
rying a substantial cash balance at all times, the Growers Loan and 
Guaranty Company had continued to maintain the respect and sup- 
port of the important financial institutions throughout the nation. 

Utilizing the services of the Exchange Supply Company, the 
Exchange continued to bargain for packinghouse supplies and field 
equipment in large quantities direct from producers at lowest pos- 
sible prices. These savings accrued directly to the various associ- 
ations which as stock investors owned and controlled the company. 
In the Exchange Supply Company the cooperative idea of services 
at cost was being carried into the purchasing field, thus supple- 
menting the cooperative sales activities of the parent organization. 

From the foregoing it can be assumed that the annual meeting 
of the Florida Citrus Exchange on June 4, 1936, convened in an 
atmosphere of great optimism. Directors seated at this meeting 
were H. G. Putnam of Oak Hill, J. O. Carr of Fort Ogden, W. C. 
Van Clief of Winter Haven, B. E. Stall of Tampa, L. L. Lowry of 
Winter Haven, C. B. Hipson of Umatilla, J. C. Palmer of Winder- 
mere, Lee S. Day of Bradenton, Charles A. Garrett of Kissimmee, 
John S. Taylor of Largo, George W. Mershon of Lakeland, D. A. 
Hunt of Lake Wales, C. H. Walker of Bartow, A. W. Hurley of 
Winter Garden, and H. E. Cornell of Winter Haven. 

Re-elected to the presidency of the Exchange was John S. Tay- 
lor; W. C. Van Clief was elected first vice-president; A. W. Hurley, 
second vice-president; J. O. Carr, third vice-president; L. L. Lowry, 
fourth vice-president; C. C. Commander, general manager; Harold 

154 



1935-1936 

Crews, assistant general manager; E. E. Patterson, sales manager; 
Earl Lines, advertising manager; L. D. Aulls, traffic manager; S. L. 
Looney, treasurer-comptroller; O. M. Felix, secretary; and Counts 
Johnson, attorney. The death of President Taylor soon after the 
annual meeting elevated W. C. Van Clief to the position of acting 
president until the October 16, 1936, meeting when Judge W. L. 
Tilden of Orlando was named president and chairman of the board 
and seated as a special director. 

Fred T. Henderson of Winter Haven was subsequently named 
by the Lake Region Sub-Exchange to replace Charles B. Anderson; 
R. J. Kepler, Jr., was selected by the St. Johns River Sub-Exchange 
as its representative on the board and John S. Taylor, Jr., was 
elected by the Pinellas Sub-Exchange to assume the board vacancy 
caused by the death of his father. 



155 



CHAPTER 23 



1936*1937 



ON DECEMBER 18, 1936, the board paid 
memorial tribute to Sales Manager E. E. Patterson, whose death 
a few days previously had been an unexpected sorrow to the 
Florida Citrus Exchange. Finding it impossible or inadvisable to 
name an immediate successor to fill the vacancy in the organization 
left by Patterson's death, General Manager Commander assumed 
the duties of sales manager for the balance of the 1936-37 season. 

With regard to the shipping season of 1936-37, perhaps the 
most outstanding feature was the fact that the three major citrus 
producing areas of Florida, Texas, and California, shipped a record 
combined total volume during the Florida season. In spite of a 
freeze loss of 8,000 cars by California, the combined total volume 
of the three states reached a weighted increase of 25.4 per cent. 
Texas showed the greatest increase with an increase of 15,000 cars, 
or 213 per cent over the 1935-36 season. Meanwhile, Florida was 
increasing its shipments by 17,000 cars, or 30 per cent. What seems 
to be particularly significant in these statistics is the phenomenal 
increase in grapefruit shipments from Florida and Texas. While 
a review of the week-by-week shipments for the season indicates 
that some weeks reached as high as 265 per cent increase over the 
corresponding weeks of the prior season, the average grapefruit 
shipment increase for the two states was 93 per cent increase for 
the season — nearly double the volume of the 1935-36 season. 

It seems remarkable that while these record volumes were being 

156 



1936-1937 

shipped to American markets, price averages throughout the season 
for Florida producers were considered satisfactory. One of the 
underlying causes of this situation resided in the continuing re- 
covery of the nation's economy. Buying power was again increased, 
and the nation's consumers were now purchasing items that during 
the depression had been considered semiluxuries. 

The Florida Citrus Exchange placed much of the responsibility 
for improved marketing conditions on what it felt to be the success- 
ful function of the Federal Marketing Agreement and the prorates 
available under that agreement. Also of importance, in the opinion 
of the Exchange, was the purchase of surplus fruit by the federal 
government, canners' commitments on futures, the activities of the 
Florida Citrus Commission, and chain-store promotional campaigns. 
Reporting to the board of the Florida Citrus Exchange in May, 
1937, with regard to the Marketing Agreement, General Manager 
C. C. Commander made this observation: 

. . . consideration should be given to the fact that a Marketing 
Agreement for Florida, even though properly supported by effec- 
tive administration of the State's own legislative program, is not 
a final solution to the constant efforts of the producer to gain 
stabilization in the industry. 

Florida oranges are marketed for a price which is directly 
affected by the total volume of oranges moved from California, 
Texas, and Arizona. Correspondingly, Florida grapefruit markets 
are dependent upon the national supply factor which is the com- 
bined production of Florida, Texas, and Puerto Rico. In each case, 
it is the combined volumes which, balanced with existing demand, 
control the price. 

These factors point to but one ultimate objective. To secure 
full and permanent benefit from a Marketing Agreement and 
proration or other activities available under the Agreement, it will 
be necessary for the nation to establish similar operations in other 
producing sections. These should operate in harmony and uni- 
formly on oranges and grapefruit as commodities. 

It is important that Florida growers should appreciate the 
magnitude to which their industry has grown. They must recog- 
nize the fact that, since it has become a national institution, it 
must be handled nationally if it is to continue successfully and 
reach any semblance of stabilization for its investments. 

The Florida citrus industry is no longer sufficient unto itself and 
able to operate without regard for other producing areas. It does 

157 



FIFTY YEARS OF CITRUS 

not control its own markets. Jointly with these other producing 
sections, however, it can. To accomplish this end, the industry, 
with the cooperation of the Government, must press for this type 
of an agreement. 

It is interesting to note that the government purchase of surplus 
commodities was of benefit to the Florida citrus industry through- 
out the 1936-37 season. The agency responsible for the pur- 
chase of these surpluses apparently adopted a well-founded policy 
and stayed with it throughout the season. As a result cannery- 
grade grapefruit — to name only one instance — held at an average 
of 31 cents on the tree. The arrangement for federal purchase of 
surpluses, therefore, became from all indications a strong factor 
in the successful results obtained for Florida citrus producers 
throughout the season. 

There is some evidence that the industry, during the early part 
of the 1936-37 season, feared that a dangerous oversupply of grape- 
fruit existed. The alarm was short-lived, however, and at the 
season's end Exchange officials voiced the opinion that the canning 
industry could have utilized every box of fruit purchased by the 
government as surplus, and could have paid the growers a fair 
price for it. By the close of the 1936-37 canning season, canners 
were paying the unprecedented price of $1.25 per box for oranges. 
There is sufficient evidence on file to support the belief that even 
at this price canners found it difficult to procure enough fruit to 
meet their increasing demands. 

The continued efficiency of the Florida Citrus Commission had 
by this time convinced the great majority of those in citrus of the 
logic of the legislation of 1935. The annual report of the Florida 
Citrus Exchange for the 1936-37 season includes this comment: 

All growers are cognizant of the increasingly unsettled condi- 
tions which existed in the Florida citrus industry during the past 
few years. They became so critical about two years ago that a 
majority of citrus growers, the Florida Citrus Exchange, and other 
shippers in the state participated in the drafting of state legislation 
designed to improve these conditions. 

This block of laws provided for the adoption of many standard 
merchandising fundamentals and ethics of sound business proce- 
dure. These laws became applicable to the entire industry. They 
fairly and impartially included all growers and operators in their 
provisions. 

158 



1936-1937 

That this legislation, even in its original form, has proved profit- 
able to the industry as a whole even the most skeptical in the 
industry now concede. It has been helpful in creating and main- 
taining demand for Florida citrus. It practically eliminated bulk 
shipments and provided for the inspection and certification of fruit 
so that buyers were able to place their commitments with con- 
fidence. 

The several factors noted above resulted in an extremely favor- 
able season. It is likewise apparent that all growers benefited from 
the season in direct proportion to the efficiency of their sales agen- 
cies. In this respect, the Florida Citrus Exchange had much of 
which to boast. The Exchange had, during the season, increased 
considerably its capacity to serve its members at a lower cost. In 
addition, the cooperative had increased distribution very substan- 
tially. By May 22, 1939, the Exchange had made sales in forty-four 
states and six Canadian provinces, and indications are that of a total 
of 308 entered markets 37 per cent were considered to be new 
market areas. 

The intensive effort of the Exchange's sales department was 
registered in more favorable returns. Comparative auction returns, 
grade for grade and size for size, for the Exchange during this 
season, in comparison to the state average, indicate that the co- 
operative sold a total of 2,542,989 boxes of citrus up to May 1, 
1937. Its average return amounted to $2.74 per box, while all 
competitors sold 4,838,498 boxes at an average of $2.59 per box. 
F.o.b. sales, under a special department in the Exchange since 1932, 
continued to increase throughout the 1936-37 season, concluding 
the season with the filling of more than 4,000 orders. 

The reciprocal trade agreement with Canada, mentioned in 
some detail in the preceding chapter, made possible a material 
increase in the Exchange's business in that country. The gain over 
the previous season was estimated at 73.9 per cent. In consider- 
ing the gain, it is interesting to note that the terms of the agree- 
ment with Canada included abandonment of all tariffs on oranges 
during January, February, March, and April, and that no sales 
were made in Canada after May 20 in the 1935-36 season. In the 
season of 1936-37, however, sales continued well into June with 
the additional tonnage adding substantially to the Exchange's over- 
all seasonal record. 

Also, with regard to the export market, the effect of the civil 

159 



FIFTY YEARS OF CITRUS 

war in Spain was of direct interest to the Florida citrus industry 
generally, and of particular importance to the Florida Citrus Ex- 
change. While the war itself was expected to have no direct bear- 
ing on Florida citrus exports to Europe, it seemed certain that its 
effects would be felt on the domestic market. Spanish oranges 
were being moved to European markets during the period of Flor- 
ida's heaviest shipments, but comparative price levels made it 
impossible to export profitably Florida fruit to accommodate the 
deficiencies in Spanish volume caused by the war. There was, 
however, a favorable aspect for Florida citrus interests. California 
had developed a demand for its fruit which was suitable for export, 
permitting it to export substantial volumes during the spring and 
summer. Because of this, Florida expected that California would 
exploit the European field to its advantage. The loss to Europe of 
the Spanish volume was expected to be counterbalanced by in- 
creased exports from California. Florida could foresee that this 
circumstance would, in turn, relieve domestic markets in direct 
proportion to the California exports. This would, of course, im- 
prove the domestic marketing situation for Florida. 

The work of the Exchange's dealer service program, along with 
its continued brand advertising, was extremely effective during 
the 1936-37 season. Records indicate that merchandising crews 
made more than 25,000 calls on wholesalers and retailers during 
the season. Over 4,000 complete window and interior displays, 
using more than 60,000 pieces of display material, were installed. 
Finally, subway and elevated advertising, newspapers, radio, dealer 
tie-ups in local retail advertising, space in food shows, cooking 
schools, and many other devices were used to a distinct advantage. 

The relatively new legal department of the Exchange had, from 
all indications, been extremely active during the 1935-36 and the 
1936-37 seasons. Under the direction of Counts Johnson, the de- 
partment had been to a large extent responsible for drafting much 
of the state legislation establishing the new citrus laws. The 1936-37 
season saw the legal department active in the negotiations for and 
preparation of the Federal Marketing Agreement and the many 
details necessary for its successful operation. It handled negoti- 
ations and adjustments in the Florida Citrus Exchange loans under 
the Farm Credit Administration, and effected the legal aspects of 
the redistricting problems that arose with the elimination of sub- 
exchange offices. 

160 



1936-1937 

At the close of the 1936-37 season the Florida Citrus Exchange 
had grounds for considerable optimism. Because of returning sound 
financial conditions, along with increasing volume, the manage- 
ment looked forward to a reduction in operating costs with result- 
ing higher net returns to Exchange growers. 

These, then, were the circumstances surrounding the annual 
meeting of the board at the close of the 1938-37 season. Held on 
June 3, 1937, the meeting seated as directors H. G. Putnam of 
Oak Hill representing Indian River Citrus Sub-Exchange, E. F. 
DeBusk of Gainesville representing Lake County Citrus Sub- 
Exchange, J. W. Sample of Haines City representing Lake Region 
Citrus Sub-Exchange, S. A. Whitesell of Largo representing North 
Pinellas Citrus Sub-Exchange, J. C. Palmer of Windermere rep- 
resenting Orange County Citrus Sub-Exchange, John S. Taylor, 
Jr., of Largo representing Pinellas Citrus Sub-Exchange, D. A. 
Hunt of Lake Wales representing Polk County Citrus Sub-Ex- 
change, C. H. Walker of Bartow representing Scenic Citrus Sub- 
Exchange, H. E. Cornell of Winter Haven representing Winter 
Haven Citrus Sub-Exchange, W. C. Van Clief of Winter Haven 
representing Florence Villa Citrus Sub-Exchange, L. L. Lowry of 
Winter Haven representing International Citrus Sub-Exchange, 
William G. Geier of Windermere representing Plymouth Citrus 
Sub-Exchange, A. W. Hurley of Winter Garden representing Lake 
Apopka Citrus Sub-Exchange, and W. L. Tilden as a special 
director-at-large. 

Subsequently seated on the 1937-38 Board were R. J. Kepler, Jr., 
of DeLand, representing St. Johns River Citrus Sub-Exchange, and 
W. W. Raymond of Alva, representing West Coast Citrus Sub- 
Exchange. 

Officers and department heads elected to serve during the 
1937-38 season were W. L. Tilden, president and chairman of the 
board; W. C. Van Clief, first vice president; A. W. Hurley, second 
vice-president; William M. Moseley, third vice-president; L. L. 
Lowry, fourth vice-president; C. C. Commander, general manager; 
Harold Crews, assistant general manager; L. D. Aulls, traffic man- 
ager; S. L. Looney, treasurer-comptroller; O. M. Felix, secretary; 
and Counts Johnson, attorney. 



161 



CHAPTER 24 



1937^1938 



THE OPTIMISTIC outlook of the board of 
directors of the Florida Citrus Exchange, and that of a great part 
of the Florida citrus industry, at the close of the 1936-37 season 
was unfortunately not well founded. The season of 1937-38 ran 
early and headlong into serious marketing difficulty which plagued 
the industry throughout the shipping season. From practically 
every standpoint records of the season reveal a sharp and un- 
favorable contrast with the 1936-37 season for Florida citrus. Re- 
turns were uncertain and relatively meager, and frequently below 
the cost of production. 

The causes of what the Exchange considered to be the poorest 
season of the immediately preceding years were varied. It seems 
certain that some of the difficulty lay in the unfavorable whims 
of Nature. Another cause was the apparently floundering national 
economy which had only a year before shown signs of completely 
recovering from the depression. There can be no doubt, however, 
that some of the difficulty was peculiarly man-made. Fortunately, 
the season progressed with most citrus leaders convinced that the 
problems were not permanent or without hope of profitable solution. 

Constantly increasing volumes of all citrus-producing sections 
of the Hemisphere had long been regarded by cooperative leaders 
as a factor which, unless moved in an orderly manner for proper 
distribution along with stimulated consumer demand, would prove 
to be an underlying cause of disaster to the Florida citrus industry. 

162 



1937-1938 

There was almost undeniable statistical proof of the dangers they 
feared. The five-year annual average from 1928 to 1932 of total 
production in citrus areas was 63,669,000 boxes. In 1936 the har- 
vested crop was 85,854,000 boxes, and estimates placed the total 
of the 1937-38 crop from all areas at nearly 100,000,000 boxes. 

There was at the time no evidence of future promise of relief 
from these heavy citrus volumes. The bearing and nonbearing 
acreage being cultivated at that time in Florida, Texas, Arizona, 
and California reflected 17.3 per cent as nonbearing acreage, but 
which would constantly come into bearing stages further to com- 
plicate the volume problem. The outlook was such that the Ex- 
change foresaw average annual production increasing by nearly 
50 per cent above the 1928-32 average by 1943, unless climatic 
catastrophes served to curtail production. 

Coincident with the high rate of development of citrus at this 
time was the parallel heavy production in competitive deciduous 
products. For example, the 1937 apple crop of 211,060,000 bushels 
was the largest produced in the United States in twenty-three 
years, and represented the peak of a constant increase during the 
ten-year period from 1927 to 1937. Apples were generally con- 
sidered a direct competitor of citrus, particularly when high pro- 
duction caused low consumer prices. 

The Southern strawberry crop, also felt to be a citrus com- 
petitor at the time, experienced a 30 per cent increase in the 1937 
season. Cantaloupes, peaches, pineapples from Puerto Rico and 
Cuba, with canned tomatoes, prunes, and pineapple juice, were 
all in high volume and represented active competition. 

Thus, bumper crops of citrus and competitive commodities com- 
bined to set the stage for the problems of the 1937-38 Florida citrus 
crop. And the entire production was sent to markets which were 
verging on a depression as critical as the one from which the coun- 
try had only recently made such remarkable recovery. 

This situation can be emphasized by a look at industrial America 
during the 1937-38 period. Steel, by January of 1938, had dropped 
from an index of 131 points in 1937 to 38.6 points. Cotton mill 
activity was down from a high of 129.2 points in 1937 to 84 in 
January, 1938. Freight car loadings at 80.8 in 1937 had dropped 
to 62.1 in January, 1938, and levelled at 60.6 in February. The 
automobile industry which peaked at 120 point index production 
in 1937 had dropped to 75.8 in January, 1938. 

163 



FIFTY YEARS OF CITRUS 

All these conditions reflected directly upon citrus markets. The 
quickness with which citrus fruits were dropped from diets in 
favor of basic foods was indication that citrus was still considered 
a semiluxury on the grocery list. 

Agricultural successes invariably are and have always been 
dependent upon weather conditions. In this respect, too, Florida's 
1937-38 season dealt unkindly with citrus producers. During the 
mild winter of the previous season, Florida citrus trees had bloomed 
almost steadily from January through June. As a result, variable 
maturities for all varieties of citrus during the 1937-38 season pre- 
sented serious complications in effective grading practices. 

A freeze during December, 1937, added to the marketing prob- 
lems. But prompt action by the Florida Citrus Commission to 
prohibit the shipment of frost-damaged fruit was successful, for 
the first time in Florida citrus history, in holding to a minimum 
the amount of frost-damaged fruit that arrived on the markets. 
Following the December freeze, the later movement of the Florida 
citrus crop was seriously affected by a drought more serious than 
any in previous seasons. Discussion of the drought is recorded in 
the official minutes of an Exchange board meeting at that time: 
". . . it has been so severe and general that fruit has become soft 
and flabby. Much acreage even under irrigation has been unable 
to cope with the serious drop of the water table throughout the 
belt. Trees everywhere are partially defoliated and in some sec- 
tions are totally so. Younger plantings in some sections not avail- 
able to irrigation have been killed entirely." 

The factions within the industry, including the Exchange, which 
had pressed for an effective Marketing Agreement, were also dealt 
what was considered a critical blow during the 1937-38 season. 
As the annual report of the Exchange for the 1937-38 season in- 
dicated: 

Apparently unsatisfied with the economic, competitive, and 
climatic hazards which made the present crop extremely difficult 
from a marketing standpoint, some Florida operators and growers 
combined to deny the industry organization and Federal benefits 
enjoyed by competitive producing sections. California, Arizona, 
and Texas all have marketing agreements. During part of the last 
season Florida had a marketing agreement. An analysis of the 
benefits available from the operation of an instrument of this kind 
reveals it to be productive and desirable. 

164 



1937-1938 

Denied the control afforded by a marketing agreement, Florida 
dumped her 24 million boxes of oranges and 15 million boxes of 
grapefruit and tangerines into the market. No semblance of orderly 
marketing existed. This disorganization and chaos directly affected 
not only Florida's markets but those of other citrus-producing sec- 
tions as well. 

The Florida Citrus Exchange may point with pride to its cease- 
less effort for a marketing agreement which would have given the 
industry protection against such disorganization. Its officers and a 
committee of directors labored constantly and earnestly from the 
middle of last summer in an effort to obtain the agreement. In 
spite of many concessions made to opposing interests, the earnestly 
sought unity in the industry remained unattainable. The com- 
promise agreement finally offered was rejected by Washington in 
February. [1938] 

Failure to obtain a marketing agreement apparently deprived 
the industry of the proper machinery through which it might have 
obtained an effective federal government surplus purchasing pro- 
gram. With the cooperation of other grower-shipper interests, the 
Florida Citrus Exchange finally obtained the active interest of the 
Federal Surplus Commodities Corporation in the Florida citrus 
industry. While the policies of the FSCC were apparently not all 
that could have been desired, the Exchange felt that the final out- 
come was of benefit to the industry. 

It was in these circumstances that the Exchange again took up 
the question of some sort of industry organization that could unite 
growers and shippers into an effective program for the betterment 
of the industry. A movement that was to become known as the 
Florida Citrus Producers Trade Association had been joined by 
the Exchange. The philosophy of the Exchange with regard to 
the association is explained in the text of a report by General Man- 
ager C. C. Commander to the board in June, 1938: 

This organization has been hailed by many familiar with Florida 
citrus difficulties as being the most progressive step since the 
formation of the Florida Citrus Exchange 29 years ago. Its mem- 
bership already includes the most sound packing and selling oper- 
ations in the State, totaling somewhat in excess of 50 per cent of 
the total crop. 

It is probable that owners of 60 to 65 per cent of next season's 
crop will have been accepted as members by October 1. Member- 
ship in the Trade Association is not wide open. It is being limited 

165 



FIFTY YEARS OF CITRUS 

purposely to those constructive factors representing producer in- 
terests which may be expected to work together in harmony for 
common objectives. Were it not for this restriction, it is probable 
that 95 per cent of the fruit could be signed up before fall. 

The Trade Association forms immediately operable machinery 
which can be used effectively in correcting such evils in the in- 
dustry as the multiplicity of containers, the many grades and sizes, 
the lack of standards in car loadings, and any other practices which 
in the opinion of 80 per cent of its members deserve attention. 

None of these objectionable features exist in the California in- 
dustry. This is one of the reasons for its continued success. It is 
believed that harmony of agreement provided by this organization 
will accomplish the same for the Florida citrus industry. 

It is apparent that the stress of economic and marketing conditions 
which brought about the formation of the Trade Association also 
made necessary some changes in the operating procedure and 
sales policies of the Exchange. 

Basically, these changes included the shift of more responsi- 
bility to the member-associations of the Exchange, the promotion 
of district brands for the optional use of all packinghouses in the 
Exchange system, a purification of grades qualifying for the seald 
sweet label, individual market exploitation of all brands, seasonal 
pools by varieties, sizes, and grades, the organization of a sales 
committee from the board, standard containers and carloads, and 
a further reduction of production costs. While these changes dealt 
almost exclusively in the interests of fresh fruit, it is interesting 
to survey also other activities of the season. 

The Exchange, realizing the need for the diversion of lower 
grade and discount sizes of the increasing citrus crop, had con- 
centrated on this problem during the 1937-38 season. This was 
done in an endeavor to create avenues for such diversion which 
would accommodate appreciable quantities and which would have 
definite and measurable effect in relieving the fresh-fruit markets, 
while at the same time paying a reasonable profit to the grower. 

Canning operations in which the Exchange had pioneered as 
early as 1922 had by this time developed to such an extent that 
they formed an industry within an industry. Diversions to can- 
neries had grown until they reached as high as 60 per cent of seeded 
grapefruit by the close of the 1937-38 season. The Exchange, how- 
ever, felt inclined to develop additional channels through which 

166 



1937-1938 

Florida citrus might be moved profitably for its producers. Two 
separate ideas were pursued in an effort to accomplish this end. 
The first of those ideas was the development by the Exchange of 
an orange juice vending machine invented and brought to the 
cooperative by Tracy Acosta of New Smyrna and Godfrey Rocke- 
feller of New York. The machine itself was entirely automatic in 
operation and was so arranged that the consumer by inserting a 
five cent piece could observe the complicated workings as the 
mechanism cut, extracted, and strained the fresh juice into a paper 
cup. 

The second idea involved the perfection of a breakfast food 
known as seald sweet Breakfast Food, a dry food made from whole 
oranges. The product was invented by Ramon Bustamante of 
Cape Girardeau, Missouri, and was brought to the attention of 
the Exchange by its district manager in St. Louis. 

While both of these ideas were to be eventually abandoned at 
considerable expense to the Exchange, it is apparent that the co- 
operative was relentlessly pursuing any practical method for im- 
proving the circumstances of the Florida citrus growers. 

One additional event during the 1937-38 season is worthy of 
notice. For years the Exchange general offices in Tampa were 
located in what is now known as the Maas Building. As changes 
in policy and procedure were implemented by the board, its hous- 
ing costs had become an important factor in its cost of operation, 
and therefore of much concern in any discussion by the board of 
curtailing its charges to Exchange shippers. With this in mind, 
the Exchange concluded the purchase of an entire building at 
Florida Avenue and Oak Street in Tampa from the Standard Oil 
Company at a price which would reduce its annual housing cost 
by nearly 50 per cent. Removal of the organization to its new 
headquarters was completed during the summer months following 
the 1937-38 season, and the organization still maintains this site 
as its general office. 

The annual meeting of the board for the 1937-38 season took 
place on June 9, 1938. Directors seated at this meeting or sub- 
sequently seated included H. G. Putnam of Oak Hill representing 
the Indian River Citrus Sub-Exchange, W. C. Van Clief of Winter 
Haven representing Florence Villa Citrus Sub-Exchange, W. M. 
Moseley of Fort Pierce representing Fort Pierce Citrus Sub-Ex- 
change, L. L. Lowry of Winter Haven representing International 

167 



FIFTY YEARS OF CITRUS 

Citrus Sub-Exchange, E. F. DeBusk of Gainesville representing 
Lake County Citrus Sub-Exchange, A. W. Hurley of Winter Gar- 
den representing Lake Apopka Citrus Sub-Exchange, Fred T. 
Henderson of Winter Haven representing Lake Region Citrus Sub- 
Exchange, S. A. Whitesell of Largo representing North Pinellas 
Citrus Sub-Exchange, J. C. Palmer of Windermere representing 
Orange County Citrus Sub-Exchange, John S. Taylor, Jr., of Largo 
representing Pinellas Citrus Sub-Exchange, William G. Geier of 
Windermere representing Plymouth Citrus Sub-Exchange, D. A. 
Hunt of Lake Wales representing Polk County Citrus Sub-Exchange, 
C. H. Walker of Bartow representing Scenic Citrus Sub-Exchange, 
R. J. Kepler, Jr., of DeLand representing St. Johns River Citrus 
Sub-Exchange, W. W. Raymond of Alva representing West Coast 
Citrus Sub-Exchange, and H. E. Cornell of Winter Haven repre- 
senting the Winter Haven Citrus Sub-Exchange. 

Officers and department heads elected to serve for the 1938-39 
season were W. L. Tilden, president and chairman of the board; 
A. W. Hurley, first vice-president; C. H. Walker, second vice-presi- 
dent; W. M. Moseley, third vice-president; and L. L. Lowry, fourth 
vice-president. Following a series of internal conflicts with regard 
to the board structure of the Exchange, Judge W. L. Tilden re- 
signed from the board on April 21, 1939. Subsequently, C. H. 
Walker was elected to complete the remainder of the term as 
president. 

C. C. Commander was again elected to the top staff executive 
position, and the position of sales manager, which had remained 
open for the prior two seasons, was filled by the election of Fred 
S. Johnston to that vacancy. L. D. Aulls was named traffic man- 
ager; S. L. Looney, treasurer-comptroller; O. M. Felix, secretary; 
and Counts Johnson, attorney. 



168 



CHAPTER 25 



1938*1939 



FEW GROWERS or handlers of Florida 
citrus today who were interested in citrus during the 1938-39 season 
fail to remember the near critical circumstances of that period. 
Because of the many difficulties confronting the industry during 
the season and because of the direct influence of these difficulties 
and their solutions on the development of the Florida citrus in- 
dustry, this history will, for the moment, depart from its general 
format up to this point. Without regard either to the chronology 
of events as they occurred during the 1938-39 season or to the 
specific events themselves, this chapter will simply attempt to 
indicate the circumstances as they existed at that time and to 
present the efforts of the Florida Citrus Exchange to meet these 
circumstances. 

It is important to summarize briefly the general make-up and 
the trade platform of the Exchange as it existed during the 1938-39 
season. It must be remembered that since its inception the Florida 
Citrus Exchange had been and continued to be owned cooperatively 
by approximately one-third of the growers in the industry. Its con- 
cern in industrial progress, therefore, on behalf of the grower was 
real and sincere. Its policies and decisions were evaluated and 
dictated on the simple basis of whether or not these policies or 
decisions would result in benefit to the growers. 

With this in mind, the general program of endeavor of the Ex- 
change at this time can be reconstructed into these five basic areas: 

169 



FIFTY YEARS OF CITRUS 

1. Preparing the industry's products to meet consistently uni- 
form standards of grades, thus assuring trade and consumer accept- 
ance and confidence. 

2. Equalizing freight charges to make possible a balanced dis- 
tribution to all markets available to Florida citrus exploitation 
without carrier penalty. 

3. Controlling volume of the crops in line with existing demand 
at price levels which permit reasonable profit to producers and 
which coordinate with similar control measures exercised by other 
citrus-producing sections feeding American markets. 

4. Developing by-products and extraordinary channels of trade, 
plus the expansion of normal fresh-fruit channels to increase the 
flow of Florida citrus through them. 

5. Sponsoring of adequate research to determine additional 
uses and more convincing sales and advertising materials by means 
of which Florida citrus demand might be increased. 

The season of 1938-39 generally illustrated to a great degree 
that costly inadequacy continued to exist in Florida's citrus mar- 
keting machinery. With the citrus industry almost constantly in 
the doldrums of low price levels for the past few years, the situ- 
ation seemed in reality an almost graphic reproduction of the 
danger signals years ago posted by the Exchange when it warned 
that industrial organization, permitting the use of ordinary sales 
fundamentals, would eventually be the only answer to increasing 
production. 

The problems of marketing Florida citrus apparently difiered 
little in the 1938-39 season from those basic problems facing the 
sale of any other agricultural commodity in volume production. 
On the basis of the successes as well as the failures in all agricul- 
tural commerce, the Exchange felt that it could clearly define the 
fundamental merchandising requirements for profit. These funda- 
mentals were: 

1. Prepare the product uniformly and attractively and with 
standards of quality consistently maintained in proportion to the 
price levels sought. 

2. Offer only those volumes of merchandise which would yield 
the desired price levels, and divert to noncompetitive by-products 
channels or through other methods eliminate surpluses beyond 
these required volumes. 

3. Increase the demand through advertising intelligently pre- 
pared and timed to meet sales requirements. 

170 



1938-1939 

The elements for success in all business which existed during 
this period, and which most probably are still unchanged today, 
can be recognized in these fundamentals. The Exchange, in its 
presentations of the era, felt that any degree of success for the 
owner-producers of the Florida citrus industry would be directly 
hinged to a rigid observance of these rules. Beyond that, Exchange 
philosophy emphasized the opinion of its directors that no one 
of the three fundamentals was sufficient unto itself; that these 
fundamentals were closely related and inevitably interdependent. 
It was undoubtedly this philosophy which had given life and action 
to most of the Exchange policies, both during the 1938-39 season 
and those immediately preceding it, with regard to the marketing 
of Florida's citrus crop. The Exchange believed voluntary co- 
operation of growers and handlers in obtaining a common ob- 
jective to be the ideal method through which to accomplish the 
utmost benefit for citrus growers. 

As material proof of an industry that had through the years 
followed this philosophy to a great degree of success, the Exchange 
pointed to the California citrus industry. Experience in California, 
where grower cooperation continued to be far more advanced than 
in Florida, had demonstrated that federal and state legislation had 
been almost indispensable in the regulation of its crop for in- 
telligent merchandising. With the knowledge of this situation in 
California, the Exchange was therefore inclined to keep itself in 
the leadership of a move for the creation of improved legislation, 
both federal and state, to secure adequate safeguards to regulate 
the movement of fruit to its ultimate markets. 

It is apparent that, with the entry of the federal government 
in crop controls in 1933 under the Agriculture Adjustment Act, 
and the various state laws of 1935 and 1937, the Exchange felt 
that the first and third of the aforementioned three fundamentals 
had been fairly well attained. The problem, which during these 
times was simply stated by the Exchange on numerous occasions, 
was the failure of the industry to adopt the second of the three 
fundamentals — the retention of the frequent production excesses 
of Nature in line with the existent market demand. The economic 
and marketing advantages of relating supply to demand in order 
to obtain a correspondingly desirable price was without doubt the 
goal-simple of the Florida Citrus Exchange in its every representa- 
tion at the industry level during this era. 

171 



FIFTY YEARS OF CITRUS 

Let us now review the aspects of the 1938-39 season itself. 
There is every indication that the 1938-39 season developed pro- 
gressively into one of the most disastrous in the entire history of 
the Florida citrus industry. For example, both seeded and seedless 
grapefruit brought prices below the cost of production beginning 
in October, 1938, and, with the exception of a few days in early 
November, continued throughout the season at below production 
cost levels. Seeded grapefruit varieties frequently fell so far below 
production cost that they failed to yield any returns whatsoever on 
the tree. A similar record of all auction standard-packed orange 
sales averages for the season indicates that growers also sustained 
heavy losses in this commodity. Orange difficulties were not, how- 
ever, so severe nor so continuous as grapefruit losses. They were 
from all indications somewhat relieved by a relatively steady and 
profitable increase in prices as the Valencia season got under way. 

In retrospect, it is interesting to note that where increases or 
decreases in Florida orange volumes in the years past had been 
absorbed by the markets in direct proportion to their capacity to 
pay, this situation had become altered during the 1938-39 season. 
It must be observed that during both the 1937-38 season and the 
1938-39 season price averages dropped faster than declines in in- 
come, regardless of minor crop volume fluctuations. Under previous 
circumstances, these declines were beyond the ability of the Flor- 
ida citrus industry to control. But during the two recent seasons, 
high volume output of citrus had caused citrus consumer prices 
to dip to a far greater degree than the corresponding dip in con- 
sumer income. Thus, while the consumer had money to pay for 
citrus at reasonable prices, the Florida citrus industry had persisted 
in so glutting the markets that prices were not held in line with 
the consumer's ability to pay. 

Relative to the production statistics of Florida during the 1938-39 
season, it is sufficient to say that as of May 20, 1939, Florida had 
produced nearly 94,000,000 boxes of citrus for a 25 per cent in- 
crease over the 1937-38 season. While California was slightly under 
its previous extremely high volume season, Texas had registered 
an approximate gain of 50 per cent. 

As Florida contemplated its various predicaments, it must have 
been clearly apparent that an effective solution of its supply control 
problems could not be regarded as concerned solely with the estab- 
lishment of control in any one given citrus-producing area. It 

172 



1938-1939 

would have been useless, logically, for Florida growers to consider 
methods of control on oranges without some sort of similar action 
on the part of California. Similarly, in grapefruit, Texas had grown 
to be almost as large a factor in the grapefruit market as Florida 
from the standpoint of volume of production. Thus, if Florida 
voluntarily endeavored to curtail its shipments of grapefruit with- 
out parallel curtailment of Texas shipments, the resulting Texas 
advantage would be obvious. The true significance of the situation 
seems to underscore the fact that the Exchange was not unsound 
in its search for effective controls throughout all citrus-producing 
areas feeding American markets. 

With these factors in mind, it is interesting to consider the dis- 
cussion of the season found in the 1938-39 annual report of the 
Florida Citrus Exchange: 

It [the season] is a record of distress which can be relieved by 
organization and cooperation between growers and grower-oper- 
ators and between producing sections. 

It is a marketing situation, however, which has confronted all 
operators in the industry alike. It will continue to do so. Only 
those will survive and continue uninterrupted grower service who 
best are able to get the market for fruit handled at the least cost 
for the service performed. 

From the growers standpoint, this reduction of service costs 
between the tree and the consumer has become an imperative 
economic necessity. He must obtain as big a percentage of the 
gross delivered return for his crop as is possible if he is even to 
come close to recovering production costs. 

The annual report went on to point out that the Exchange had 
concentrated its efforts of several years exclusively on the market- 
ing of fresh citrus fruits to bring about such a reduction. It recom- 
mended that packinghouse cost reductions were likewise necessary 
to produce advantageous returns for the grower. 

While this season of distress weighed heavily on the Exchange, 
it continued its dealer service and advertising programs. Its legal 
department continued to provide acutely needed assistance to 
members during this period when both business and labor had 
brought about the enactment of a series of laws requiring the 
attention of trained legal experts. Likewise its traffic department 
had continued to render important services to the entire Exchange 
system. The Growers Loan and Guaranty Company, along with 

173 



FIFTY YEARS OF CITRUS 

the Exchange Supply Company, maintained normal operations to 
the benefit of Exchange growers and shippers. 

On the export markets a period of activity occurred because 
of the unsatisfactory Palestine citrus crop, the Spanish civil war, 
and a late-maturing Brazilian crop. While direct shipments to 
Europe during the past several years had been considered danger- 
ous from an exchange and credit viewpoint, this situation presented 
an opportunity for profitable export. The Exchange promptly made 
arrangements for satisfactory credit and exchange facilities, and 
began to ship large volumes of Florida citrus onto the European 
market. While the export returns for the season were not considered 
excellent, records indicate that frequently the average for export 
sales exceeded those of the demoralized domestic market of the 
1938-39 season. 

Amid these circumstances, the board of directors of the Florida 
Citrus Exchange contemplated the future at its annual meeting 
on June 8, 1939. To those familiar with the tribulations of cooper- 
ative organizations, it need hardly be pointed out that the circum- 
stances of this era made the conduct of the business of the Ex- 
change difficult indeed. The organizational minutes of the annual 
meeting are filled with volumes of internal recommendations, dis- 
cussions, and some controversy with regard to corrective policies 
felt by their authors to be of vital importance to the fresh-fruit 
business. 

To the credit of those in official capacity, however, there is 
every indication that the seriousness of the 1938-39 season did 
not prompt a single withdrawal of association or shipper member- 
ship, nor did it prompt hasty or fanatic rearrangement of organ- 
izational procedure. One prevailing factor apparent in a review 
of these minutes is that members of the Exchange were generally 
as well or better paid for their fruit than those operators or growers 
outside the Exchange system. It may be considered, therefore, 
that the Exchange looked upon the closing season as a disaster that 
could hardly be avoided in future years by a general reorganization 
of sales facilities as they existed at that time. Then, as has always 
been the case, the Florida citrus industry in major part attributed 
its problems to a lack of cooperation between its various segments. 
This analysis was in all probability true, and while the diagnosis 
earned general agreement, the method of treatment remained 
evasive. 

174 



1938-1939 

Seated at the board's annual meeting on June 8, 1939, were 
H. G. Putnam of Oak Hill representing Indian River Citrus Sub- 
Exchange, W. C. Van Clief of Winter Haven representing Florence 
Villa Citrus Sub-Exchange, W. M. Moseley of Fort Pierce repre- 
senting Fort Pierce Citrus Sub-Exchange, L. L. Lowry of Winter 
Haven representing International Citrus Sub-Exchange, E. F. De 
Busk of Gainesville representing Lake County Citrus Sub-Exchange, 
Fred T. Henderson of Winter Haven representing Lake Region 
Citrus Sub-Exchange, Charles B. Anderson of Tarpon Springs 
representing North Pinellas Citrus Sub-Exchange, J. C. Palmer of 
Windermere representing Orange Citrus Sub-Exchange, John S. 
Taylor, Jr., of Largo representing Pinellas Citrus Sub-Exchange, 
William G. Geier of Windermere representing Plymouth Citrus 
Sub-Exchange, D. A. Hunt of Lake Wales representing Polk Citrus 
Sub-Exchange, C. H. Walker of Avon Park representing Scenic 
Citrus Sub-Exchange, Tom B. Stewart of DeLand representing St. 
Johns River Citrus Sub-Exchange, W. W. Raymond of Alva rep- 
resenting West Coast Citrus Sub-Exchange, H. E. Cornell of Winter 
Haven representing Winter Haven Citrus Sub-Exchange, and R. J. 
Kepler, Jr., of DeLand representing Clark Citrus Sub-Exchange. 

With the exception of Charles B. Anderson of the North Pinellas 
Sub-Exchange, who was subsequently replaced by J. W. Smith of 
Brooksville, the entire board as seated at the June 8 meeting served 
throughout the following season. C. H. Walker served as president 
and chairman of the board; H. E. Cornell as first vice-president; 
W. M. Moseley as second vice-president; J. C. Palmer as third 
vice-president; and L. L. Lowry as fourth vice-president. There 
was no change in staff executives for the 1939-40 season. 



175 



CHAPTER 26 



1939*1940 



AS HAD HAPPENED so often in previous 
years, the 1939-40 season, which had given promise of being a 
high-volume production season with continued marketing diffi- 
culties, was "saved" on the markets by the severe freezes that 
occurred for five consecutive days during the last two weeks in 
January, 1940. While the dangerously cold weather caused critical 
losses to growers in some parts of the Florida citrus belt, most of 
the Exchange acreage reported a yield of merchantable fruit in 
volumes sufficient to compensate some of the loss because of the 
higher market levels enjoyed following the freeze. It is interesting 
to observe, with regard to the freeze, that most of the increased 
returns of the period following the cold weather went to cooper- 
ative growers and shippers who retained title to their fruit, or to 
speculators who bought heavily from panicked growers and who 
were able to market this fruit under market rises that followed 
the freezes. 

Under the circumstances, and not illogically, the heaviest finan- 
cial losses of the 1940 freezes were incurred by packing and ship- 
ping organizations who budgeted their operations and based their 
costs upon an anticipated volume which proved to be substantially 
short of the original estimates. Additionally, field and packing 
labor, supply industries, and carrier systems all lost heavily as a 
result of the cold weather. 

176 



1939-1940 

The Florida Citrus Exchange, along with most of the industry, 
emerged from the freezes with even the most experienced fruit 
men certain that at best there could be no more than a 50 per cent 
movement of the total crop on trees at the time of the freeze. 
Subsequent developments, however, apparently brought to light 
certain very favorable conditions. Wood damage was not so seri- 
ous as had been feared, apparently because of the several days 
of near-freezing weather that preceded the five-day freeze. While 
defoliation was reported as general, widespread recovery was 
equally rapid, and weather following the critical period so favored 
new growth on citrus trees that the blossoming season saw one 
of the heaviest blooms ever witnessed in Florida. 

Production figures for the 1939-40 season, which were originally 
estimated at 30,500,000 boxes of oranges, produced approximately 
75 per cent of that figure as a result of the freeze. Grapefruit pro- 
duction dropped around 15 per cent, with total utilization as of 
May 11, 1940, estimated at 14,691,904 boxes. Tangerine utilization 
was also reduced from an early season estimate of 2,900,000 boxes 
to an actual utilization of approximately 2,300,000 boxes. 

At its regular monthly meeting on February 16, 1940, the Flor- 
ida Citrus Exchange rallied to the assistance of those members who 
had been placed in financial crisis because of the freeze. The 
following resolution was unanimously adopted by the board: 

Whereas, the freeze recently experienced is showing itself to be 
one of the worst in the history of the industry, creating 
serious problems among a large number of our grower 
membership and associations in the proper care and cultiva- 
tion of their grove properties, and 

Whereas, these conditions create an unprecedented opportunity 
for the Florida Citrus Exchange, the Growers Loan and 
Guaranty Company, and affiliated associations and associate 
shippers in the cooperative system which they represent, 
to perform in protecting and assisting their individual mem- 
bers in a manner which will exemplify the advantages of 
cooperative membership, and 

Whereas, the declared policy of the Board of Directors embraces 
the assistance to member associations so that they may ob- 
tain sufficient volume to permit their operations to be con- 
ducted on an economical and efficient basis, assisting such 
tonnage acquirement through the Growers Loan and Guar- 
anty Company with such financial cooperation as seemed 

177 



FIFTY YEARS OF CITRUS 

advisable from time to time, frequently on a short-term basis 
and from season to season, and 

Whereas, the Florida Citrus Exchange, the Growers Loan and 
Guaranty Company, and the cooperative system which they 
represent are in the best shape in the history of cooperation 
in Florida, having proved their value over a period of more 
than thirty years, constantly perfecting methods, sales rep- 
resentation, merchandising facilities, and financial responsi- 
bility to the point where the organization stands today as 
the outstanding operation in the industry, the second largest 
in the world handling perishables, equipped with the finest, 
most far-flung salaried and brokerage representation, trade 
contacts and reputation for dependable performance of any 
in the field, and operating on a service charge which is the 
lowest of any responsible operator in the industry today com- 
paring favorably with the cost performance of the California 
Fruit Growers Exchange in spite of the great disparity 
between the gross volumes handled by the two organiza- 
tions, and 

Whereas, such performance record and current standing make the 
Florida Citrus Exchange and the Exchange system the most 
practical method for adoption and use by the industry as a 
whole in the solution of the marketing problems attendant 
upon normally increasing volumes, particularly if that per- 
formance currently is enlarged to cope with the existing 
emergency competently and satisfactorily. 

Now, Therefore, Be It Resolved that the resources of the Ex- 
change system, including such centralization of borrowing 
power for qualifying associations and associate shippers, 
be used to extend such financial assistance as may be re- 
quired for the proper care of member groves and for the 
production of a new crop of top quality and volume. 

Be It Further Resolved that associations will be assisted to help 
finance the personal requirements of its members who may 
be in dire need of assistance, where such loans may appear 
endorsed by the association and have been passed by its 
Board of Directors after due consideration of each applica- 
tion on its merits, and 

Be It Further Resolved that the qualifying associations be assisted 
in financing new tonnage on the above terms and conditions, 
provided the grove, prospective member and association 
operations are satisfactory to the committee of executive 
officers of this organization. 

178 



1939-1940 

The implications of the foregoing resolution are clear. In spite 
of several years considered less-than-good by the Exchange, in- 
cluding the nation's worst economic depression and high- volume 
output by the combined American citrus production areas, the 
freezes of 1940 had found the organization in position to offer 
extremely good financial assistance to its members for recovery 
from freeze damages. From this and similar past actions of the 
Exchange, this history must record that the cooperative has in all 
its years continued to offer its greatest service in times of adversity 
and industrial strife. 

On the markets, the Exchange faced a trying situation follow- 
ing the freeze. It considered its wholesale and retail contacts vitally 
necessary in order to acquaint the trade as fully as possible with 
the dependability of Exchange grade and packs, yet its operational 
budgets were low. A total of 12 men was used exclusively in this 
type of work during the remainder of the 1939-40 season. In addi- 
tion to this "missionary" contact, the normal function of the dealer 
service crews was continued. Display materials, both seald sweet 
and Florida Citrus Commission commodity type of materials, were 
utilized to attract consumers to Florida citrus. Furthermore, the 
Exchange for the first time entered into a cooperative agreement 
with many of its district or association brand producers for the 
development of advertising of these brands in specific markets. 
These campaigns were financed with funds of which two-thirds 
were provided by the district or association and one-third by the 
Florida Citrus Exchange. The advertising campaigns included the 
use of radio, newspapers, posters, and other media, and were co- 
ordinated through the parent organization. 

Exchange advertising policy had been redesigned following the 
Florida Citrus Commission's nationwide commodity advertising 
program, which had become increasingly effective since its im- 
plementation in 1936. While intensive specific market advertising 
was continued by the Exchange, minutes of board meetings and 
other records indicate that the organization's nationwide advertis- 
ing program was allowed to terminate gradually in favor of the 
Commission's program. The excise tax now paid by Exchange 
shippers to the Florida Citrus Commission represented to some 
degree those funds previously spent by the Exchange to conduct 
its own nationwide program. In addition to its cooperative ad- 
vertising and its specific markets advertisement, the Exchange also 

179 



FIFTY YEARS OF CITRUS 

increased its utilization of point-of-sale materials. 

A summary of the Florida marketing picture as it was viewed 
by the Exchange at the close of the 1939-40 season appeared in 
the annual report of the Exchange for the season: 

By way of summary, therefore, the Florida citrus industry is 
confronted with increasing volumes which can be offset only by 
parallel action from all producing areas. Its alternative must be 
the increase of consumer demand and methods by which that de- 
mand may be reached. It lacks organized selling effort. 

It numbers among its hundreds of "sales agents" dozens of 
truck peddlers. It has lost over 50 per cent of its grapefruit ton- 
nage to canneries at prices averaging below production cost and 
finds that pack advertised and sold in direct competition with the 
fresh fruit from which it hopes to make a profit. 

Only one conclusion may be reached by the logical and un- 
biased mind in studying these data: a coordination of selling effort 
between the responsible cooperatives, grower-shippers, and specu- 
lative operators will be necessary if the industry is to distribute 
its constantly increasing volumes at a profit to producers. 

Against this background of industrial disorganization and costly 
self-competition the Florida Citrus Exchange operated with im- 
proved service to its grower members through well-managed as- 
sociations and associate shippers cooperating fully with the Sales 
Department. This industry situation can be met best with most 
efficient packing and productive cultural services. This branch 
of cooperative service to the grower is of paramount importance; 
his cultural and packing costs represent the greatest percentage, 
exclusive of freight, in his total handling costs from blossom to 
market. 

Proper administration of these necessary expenditures is of 
utmost importance as upon them depend production of volumes 
per acre and improvement in the quality of fruit produced. Better 
average quality in Florida must be obtained. This is particularly 
true of the early varieties. Much study to improve both external 
and internal quality of fruit has been given by many expert horti- 
culturists in Florida. Much progress along this line has been made. 
All association [Exchange] production departments should confer 
with Dr. Camp [Florida Experiment Station] and other leaders in 
this field for facts or procedure which will improve their crops. 

It is of interest to note that the Florida Citrus Exchange, during 
the 1939-40 season, operated on the lowest selling charge in its 

180 



1939-1940 

history. Selling charges based on the high volume expected before 
the freeze were not increased, owing largely to the establishment 
some years before of a reserve contingency fund for just such a 
purpose. Thus, at the close of the 1939-40 season, the Exchange 
looked forward to gains of more than 6,906 acres of citrus as esti- 
mated by its district managers in June, 1940. This acreage, indicated 
by advance affiliation applications, would represent grove land 
belonging to nearly 250 new Exchange growers persuaded by Ex- 
change results to cast their lot with the cooperative. 

The annual meeting of the 1939-40 board of directors of the 
Florida Citrus Exchange was held on June 6, 1940. Directors 
seated at this meeting included H. G. Putnam of Oak Hill, W. C. 
Van Clief of Winter Haven, W. M. Moseley of Fort Pierce, L. L. 
Lowry of Winter Haven, J. N. Mowery of Eustis, Fred T. Hender- 
son of Winter Haven, J. W. Smith of Brooksville, J. C. Palmer of 
Windermere, William G. Geier of Windermere, D. A. Hunt of 
Lake Wales, Tom B. Stewart of DeLand, W. W. Raymond of Fort 
Myers, H. E. Cornell of Winter Haven, and R. J. Kepler of DeLand. 

Subsequently, the Polk Packing Association successfully applied 
for membership in the Exchange and was represented on the board 
by John A. Snively, Jr., C. H. Walker was seated as a representa- 
tive of Scenic Citrus Sub-Exchange, and W. O. Kirkhuff of Braden- 
ton was seated as the representative of Pinellas Citrus Sub-Ex- 
change. 

Officials of the board elected for the 1940-41 season were C. H. 
Walker, president and chairman of the board; H. E. Cornell, first 
vice-president; H. G. Putnam, second vice-president; J. C. Palmer, 
third vice-president; and W. O. Kirkhuff, fourth vice-president. 

Department heads elected to serve for the 1940-41 season were 
C. C. Commander, general manager; Fred S. Johnston, sales man- 
ager; L. D. Aulls, traffic manager; S. L. Looney, treasurer-comp- 
troller; O. M. Felix, secretary; and Counts Johnson, attorney. 



181 



CHAPTER 27 



1940^1941 



THE EVER-INCREASING Florida citrus 
production volume, which had molded a sort of pattern for the 
future since the mid-1930's, was again apparent during the 1940-41 
season. This picture was compounded by a parallel high-volume 
year in California, Texas, and Arizona. These four major citrus 
production areas combined to produce an estimated total of 121,- 
317,000 boxes of citrus fruits, a figure that was 22 per cent higher 
than the previous five-year average crop. In fact, it was exceeded 
only during the 1938-39 season when one-half of 1 per cent more 
fruit was produced. 

Florida production itself touched new heights. The orange vol- 
ume was nearly 20 per cent higher than the five-year average and 
was equalled only during the 1938-39 season when approximately 
8 per cent more oranges had been harvested. Grapefruit produc- 
tion increased over that of any preceding season by more than 
40 per cent increase over the five-year average and exceeded the 
previous record established during the 1938-39 season by some 
600,000 boxes. Even tangerine production approached the record 
proportions of the 1938-39 season and exceeded the five-year aver- 
age by about 6 per cent. 

In addition to all this, indications of new plantings, tree count 
and maturity in all four citrus-producing sections of the country 
pointed to a continued increase in the size of the national crop. 
It was therefore considered more than likely that the ensuing five- 

182 



1940-1941 

year average could be greatly increased over that of the past 
averages. These factors were sufficiently important to cause Flor- 
ida growers some concern for future developments if they were 
to protect their existing investments in the industry. 

The 1940-41 season had other problems, none of them new, 
which continued to plague the Florida industry. Grower organ- 
ization in the industry still seemed comparatively ineffective. In 
the words of one Exchange official at the time: "There are even 
many cooperative growers who unfortunately do not cooperate." 
As it had done so often in past years, the Exchange publicly de- 
plored the practice of the maintenance of a large number of 
fresh-fruit marketing organizations within the industry which were 
in direct competition with themselves and the rest of the industry. 
It is interesting to note that the 1940-41 season saw fruit sent to 
market by a total of 613 shippers and growers duly licensed by the 
Florida Citrus Commission as "handlers." This figure included 
express shippers and many others who were not packers and 
canners. 

There is indication that some attempt was made to coordinate 
these marketing activities through the Florida Citrus Producers 
Trade Association, but the problem was of such nature that the 
solution continued to evade the voluntary group. The inability 
of the FCPTA to gain complete cooperation within the industry 
eventually moved the Exchange temporarily to withdraw its mem- 
bership from the organization. The Marketing Agreement, although 
not the same as the one in 1936-37, continued in force, limiting 
its control to grade and size prorate methods. The Exchange, still 
seeking volume prorate, was often critical of the efficiency of the 
Agreement under circumstances existing at that time to meet the 
pressing distribution problem. 

From communications and records still available from this 
period, it is apparent that the prospect of irregular and uncontrolled 
movement of high-volume crops was regarded by the Exchange 
as responsible for a hesitancy on the part of the trade either to 
make heavy commitments on Florida fruit or to handle it on any 
basis other than a day-to-day operation. The industry could not, 
during the 1940-41 season, extend price protection to the trade 
in its purchases, and buyers were anxious to avoid acquisition and 
maintenance of stocks that might devaluate by excessive shipments 
from the state to any given market on the following day. 

183 



FIFTY YEARS OF CITRUS 

It was natural, the Exchange reasoned, that many in the trade 
preferred to place their lot with California citrus during those 
periods in which it was available in adequate volume. There is 
little doubt that the better organization of the California industry 
assured a more uniform movement at this time, and a consequent 
price protection against the unpredictable peaks and valleys of 
prices inherent in the Florida citrus movement. 

It should be remembered, also, that f.o.b. or direct sales pre- 
sented somewhat of a problem to the Florida citrus industry. 
Citrus prices, then as now, were made either on a bid or a barter 
basis. While auction sales represented the bid method, f.o.b. sales 
were always consumated by a trade or barter method. And, per- 
haps much more so at this time than now, prices were established 
as a result of sales performance at the auctions. It was in this 
manner that a marketing situation existed during the 1940-41 
season which was unfavorable to the free movement and satisfactory 
pricing of Florida citrus. Deals whereby shippers sold their goods 
to distributors in those markets served by the major auctions ob- 
viously withdrew buying support from the auction and directly 
created an unfavorable price reaction. 

This fact, although well recognized by contemporary citrus 
handlers, was becoming of major significance with the growth of 
chain-store operations that felt completely justified in buying citrus 
direct because of the substantial savings over the handling charges 
occasioned by the movement of fruit through auction channels. 
This bypassing of fruit around auction buyers in effect served to 
restrict patronage at the auction and reflected a low price, forcing 
a correspondingly low level in the completion of f.o.b. price ar- 
rangements. As is nearly always the case in pricing difficulties such 
as this, it was the Florida citrus grower who became the eventual 
loser. To make matters worse for Floridians, this marketing 
problem was to a large extent exclusively peculiar to Florida. Its 
major competitor, California, with a grower organization strong 
enough to clear its fruit through any method of sale in any one 
market, was relatively unaffected by the swing to f.o.b. sales. 

A third marketing problem for fresh fruit during the 1940-41 
season was the development of satisfactory price levels on fruit 
moving to canneries. This situation was more alarming than any 
other to many citrus experts. They based their concern on the 
fact that fruit was moved to canneries on a salvage low-price 

184 



1940-1941 

basis, frequently at less than the cost of production. Because of 
disorganization among producers, canners had been in position 
to take advantage of this situation, passing along their savings to 
the nation's consumers in direct competition to fresh-fruit trade. 
The canning problem, as viewed by the Exchange, was not solely 
one of the 1940-41 season, nor was it limited to grapefruit, which 
had in the past been the mainstay of the citrus canning industry. 
By 1940 the total estimated volume of oranges moving into can- 
neries was placed at 15.44 per cent of the entire Florida orange crop. 

While Florida's position in the markets during the season of 
1940-41 was obviously second best to that of California, and while 
the state average returns for Florida fruit were generally considered 
to be less than satisfactory, the Florida Citrus Exchange reported 
at the close of the season that its sales had brought premium 
prices for member-growers. These premiums, as listed in the an- 
nual report for the season, indicated that the Exchange average 
against all competition brought premiums ranging from four cents 
per box on tangerines to twenty-nine cents on seeded grapefruit. 

It is significant to observe in this regard that the premiums 
mentioned in the preceding paragraph were far greater for the 
Indian River district. The Exchange had, during the season, co- 
operated with the growers of this district in the promotion of 
their florigold and flo brands. The district had levied a special 
assessment on its growers to cover the cost of that campaign. The 
results were definite, and the continuance of this program until 
present times has placed the Indian River brands high on the pre- 
mium list in their distribution areas. 

There is indication that international economic conditions as 
a result of what was soon to become known as World War II were 
already being felt in the Florida citrus industry. During the early 
part of the 1940-41 season an opportunity presented itself to the 
Florida Citrus Exchange. A large percentage of fruit retailers in 
western Canada were of Chinese origin. As a race they naturally 
resented the Japanese invasion of their homeland. While their 
primary source of citrus had been the Japanese Satsuma, the Ex- 
change found that they were waging a sort of economic war against 
the Japanese even before the Canadian government banned such 
purchases. 

The Exchange promptly developed a tangerine pack similar to 
the Japanese satsuma pack, and made its first transaction of seventy- 

185 



FIFTY YEARS OF CITRUS 

&ve cars at what was considered to be a very favorable price. The 
shipment was supported with advertising and news articles in the 
territory to acquaint the trade and consumers with Florida tan- 
gerines. This transaction caused a flurry of excitement among 
Florida tangerine growers and shippers, but Canada's participation 
in the war soon caused the restriction of foreign exchange and 
precluded further tangerine sales to that country. The idea of 
selling tangerines to Canada, however, was planted firmly in Flor- 
ida, and it was planned that the Exchange would pursue such 
business as soon as the international situation would permit. 

The season 1940-41 was summarized by General Manager C. C. 
Commander in a report to his board at the close of the season: 

Success or failure in marketing of Florida citrus during any 
given season depends on several basic variables. During the season 
1940-41 the conditions imposed by these factors appeared as a 
dangerous threat to grower profits. 

That the season is being concluded with returns to growers 
beyond the limits normally outlined by these oppressive marketing 
factors has not been accidental. The Florida Citrus Exchange in 
spite of the fact that it must operate with an organized strength 
limited to about 25 per cent of the industry's tonnage took the lead 
in the creation and adoption of moves which helped create better 
markets for growers. 

These individual actions of the industry achieved some results. 
They were hastily conceived and put into action to meet emer- 
gencies which never could have arisen under a thoroughly organ- 
ized grower-controlled industry. Temporary stopgap action of 
this character cannot be substituted effectively for the fundamental 
principles governing the successful merchandising of any product. 
Particularly is that true of Florida citrus, a highly competitive, 
huge-volume, seasonal perishable. 

The annual meeting of the board of directors of the Florida 
Citrus Exchange was held on June 5, 1941. Directors seated at 
this meeting to serve during the 1941-42 season, or those subse- 
quently seated, were H. G. Putnam of Oak Hill representing the 
Indian River Citrus Sub-Exchange, W. C. Van Clief of Winter 
Haven representing the Florence Special Citrus Sub-Exchange, 
W. M. Moseley of Fort Pierce representing the Fort Pierce Special 
Citrus Sub-Exchange, L. L. Lowry of Winter Haven representing 
the International Special Citrus Sub-Exchange, C. B. Hipson of 

186 



1940-1941 

Umatilla representing the Lake County Citrus Sub-Exchange, A. 
R. Updike of Lake Wales representing the Lake Region Cirrus 
Sub-Exchange, J. W. Smith of Brooksville representing the North 
Pinellas Citrus Sub-Exchange, J. C. Palmer of Windermere rep- 
resenting the Orange County Citrus Sub-Exchange, W. O. Kirkhuff 
of Bradenton representing the Pinellas Citrus Sub-Exchange, Wil- 
liam G. Geier of Windermere representing the Plymouth Special 
Citrus Sub-Exchange, D. A. Hunt of Lake Wales representing the 
Polk County Citrus Sub-Exchange, J. A. Snively, Jr., of Winter 
Haven representing the Polk Packing Special Citrus Sub-Exchange, 
C. H. Walker of Avon Park representing the Scenic Citrus Sub- 
Exchange, H. E. Cornell of Winter Haven representing the Winter 
Haven Citrus Sub-Exchange, and R. J. Kepler of DeLand rep- 
resenting the Clark Special Citrus Sub-Exchange. 

C. H. Walker was elected president and chairman of the board 
for the 1941-42 season, and H. E. Cornell was named first vice- 
president. H. G. Putnam was elected to serve as second vice- 
president, and third vice-president was J. C. Palmer. W. O. Kirk- 
huff was elected fourth vice-president. 

Executive positions were appointed, with C. C. Commander as 
general manager, Fred S. Johnston as sales manager, L. D. Aulls 
as traffic manager, S. L. Looney as treasurer-comptroller, and Counts 
Johnson, secretary and general counsel. Added to the executive 
staff was James Samson of Tampa as assistant secretary. Samson, 
already a long-time administrative employee of the Exchange, was 
to assume increasingly important responsibilities for the Exchange 
and its affiliates. The assumption by Johnson of the secretarial post 
resulted from the retirement of O. M. Felix after twenty- three years 
of employment with the Exchange. In this regard, it is interesting 
to note that Charles Felix, son of O. M. Felix, had at this time been 
employed by the Exchange for eighteen years, and as this history 
is published, is completing his thirty-sixth year with the organ- 
ization. 



187 



CHAPTER 28 



194JU1942 



THE CITRUS SEASON of 1941-42 presents 
to the historian the most difficult era in the entire scope of this 
history to edit and record adequately in the truest possible sequence 
of events and their effect on the Florida citrus industry. It is a 
matter of record that as the season opened the potential for grower 
returns was greater than at any time in the history of Florida citrus. 
Almost every factor affecting prices seemed to be stacked in favor 
of a most successful period. Economic conditions were at a high 
peak for American business, and even the high-quality crop volume, 
by virtue of its shortness, pointed to prosperity for the Florida 
citrus grower. In the shadow of so great a combination of favor- 
able factors, the Florida citrus industry looked toward the fall of 
1941 with considerable optimism. 

The industry was soon to change its mind. Unfavorable weather 
struck almost simultaneously with the beginning of the season. 
Unseasonably hot weather, heavy rains throughout the state during 
the late summer and fall, and the combined murky dampness, 
created ideal conditions for excessive decay in all varieties of fresh 
fruit. To add to this problem, California for the first time in many 
years declined to operate under a marketing agreement and the 
volume control factors made possible through such an agreement. 
The damage caused by this lack of controlled shipments from 
California seriously affected pricing problems for Florida, which 
had heretofore capitalized on the regularity of the West Coast even 

188 



1941-1942 

though unable to provide volume controls for itself. 

Thus, Florida entered the season with what appeared to be 
more than its usual parcel of problems. It was in this predicament 
that Florida's citrus industry awoke on the morning of December 
8, 1941, to find itself along with the rest of the world ensnarled in 
the complications of international warfare on the largest scale 
ever experienced by man. There was an immediate reaction in 
the economic thinking of both the average American and his gov- 
ernment. The latter, although still purchasing surplus citrus up 
to this time under a program mentioned in previous chapters, 
dropped its purchase program immediately. Nevertheless, the gov- 
ernment continued to be the largest potential individual purchaser 
of Florida citrus fruit. This resulted from the food requirements 
of the armed forces as well as from this nation's lend-lease arrange- 
ments for allied civilian and military populations. These factors 
placed the government in a far better position to handle surplus 
citrus than under its prewar program, yet the potentiality needed 
definite action by Florida citrus before becoming reality. 

With price levels continuing to drop during January, it became 
apparent to the Florida Citrus Exchange that some coordinated 
program with the federal government was a necessity. The board 
requested other factors in the industry to assist in developing some 
plan through which Florida citrus could regain the confidence of 
the regular trade channels in an effort to improve the plunging 
price situation. A conference was held by this group with the 
chairman of the Florida Citrus Commission, Tom B. Swann of 
Winter Haven. To the credit of Swann and this group of conferees, 
a plan of action was developed. Out of this plan came the appoint- 
ment of a representative committee of the industry which was to 
carry Florida's citrus problems to the nation's capital. This com- 
mittee included Governor Spessard Holland, long associated with 
the citrus industry; Swann; Carroll Lindsey, president of the Na- 
tional Canners Association; and C. C. Commander, general manager 
of the Florida Citrus Exchange. 

The members of the governor's committee lost little time in 
presenting its case to the Florida congressional delegation and to 
the Department of Agriculture. They reported that Florida citrus 
was in critical condition as a result of the war-changed economy. 
The committee met with the British Purchasing Commission, the 
Quartermaster Corps, and officials in charge of virtually every 

189 



FIFTY YEARS OF CITRUS 

phase of government food purchases. The results of the commit- 
tee's activities were almost immediate. Orders were placed for 
the government purchase of grapefruit, both fresh and in cans, 
and later purchases of canned orange juice and fresh oranges were 
effected. Almost overnight the successful action of the committee 
had a salutary effect on Florida citrus prices. Fears of sugar and 
tin rationing were dissolved in the rush to handle the government 
business thus made available. Cannery price levels rose and sub- 
sequently fresh-fruit markets strengthened appreciably. While the 
war years were to produce other difficult problems, the prompt 
action of the industry in its initial baptism under wartime condi- 
tions provided a foundation for its development as the war con- 
tinued. 

That the Exchange was particularly pleased with the action of 
the Florida Citrus Commission during this period is apparent in 
the text of a report heard by the board of directors toward the 
close of the 1941-42 season: 

Actions of the Florida Citrus Commission under the leadership 
of Thomas B. Swann were helpful throughout the season on many 
phases of industry action other than the matter of price ceilings 
and government purchases previously discussed. 

The advertising campaign handled by the Commission for the 
industry has been more productive than any campaign during the 
Commission's existence. The net worth of advertising on Florida 
fruit may be judged only by a comparison of Florida price levels 
with competing sections for the same periods. 

The Commission also was helpful in representing the industry 
in its attempts to eliminate the truck-weight barriers hampering 
the free movement of Florida citrus to mid-western markets for 
truck carriers. 

As the industry, together with the rest of the country, becomes 
more involved with rules and regulations, tin and rubber short- 
ages, price ceilings, rationing, wage and hour difficulties, labor 
shortages, et cetera, the Florida Citrus Commission holds every 
possibility of being able to represent the industry as a whole 
successfully. Such efficient representation will be even more im- 
portant next season than it has been during the current season. 

As a whole, the Florida Citrus Exchange could see some ad- 
vantages inherent in the effects of the war on the industry. Not 
the least of these advantages would be the increasing rationing 

190 



1 941 -1 942 

of consumer purchases of many other items of foodstuff. The short- 
age of sugar was already reducing the volumes of bottled synthetics 
sold through hundreds of thousands of retail outlets across the 
nation. The refreshment drinking habit, reasoned the Exchange, 
would offer a marketing opportunity to citrus never before equalled 
in the history of the industry. 

A reference to concentrate and other products in the annual 
report of the 1941-42 season is interesting in the light of contempo- 
rary developments in these fields: 

The shortage of shipping for the transportation of fresh or 
canned citrus to our Allies created a sharp increase in the demand 
for concentrated citrus juices, particularly orange concentrate. 
Two new plants are being rushed to completion in Florida through 
the aid of Federal financing. These facilities were not available 
for use in the movement of the current crop but will be a consider- 
able factor next season. In addition to these large plants in Flor- 
ida, there are seven plants already in operation in California. The 
continuation and expansion of these facilities for the coming season 
may do much to divert a substantial percentage of that state's crop 
away from domestic markets with a correspondingly favorable 
price condition. A further war-created citrus market was developed 
this season permitting the manufacture of a marmalade base using 
both oranges and grapefruit, which can be expanded in direct 
ratio to available transportation to meet market demands in Great 
Britain. 

The development of new and improved processing methods to- 
gether with a growing interest in by-products was viewed by the 
Exchange as a factor in the future of the industry. 

The 1941-42 season was, for the most part, considered success- 
ful for the Exchange despite setbacks including the withdrawal 
of the Haines City Citrus Growers Association — charter members 
in the Exchange system — from the organization. To offset this 
withdrawal, however, the Exchange enjoyed increased member- 
ship during the season as a result of the affiliation of the Great 
Southern Citrus Association in the Winter Haven area, the Alcoma 
Citrus Cooperative at Lake Wales, and the Lake Placid Packing 
Company at Lake Placid. This combined additional tonnage brought 
nearly a million boxes of citrus into the Exchange systeni during 
the 1941-42 season. At the conclusion of the season, the Exchange 
system included thirty-one grower associations and twelve associate 

191 



FIFTY YEARS OF CITRUS 

shippers, and had placed on the market a volume of fresh citrus in 
excess of 25 per cent of the total state shipment for the season. 

It will be remembered by those who lived in these times that 
the close of the 1941-42 season came in the midst of uncertainty 
for every phase of the Florida citrus industry. The impact of the 
war economy upon the nation could be expected to have increasing 
effect upon the economy of the industry itself. Prospects for a 
heavy production season in 1942-43 had been enhanced by excel- 
lent weather before and during the bloom season, and the income 
level of the nation assured that an almost unprecedented capability 
existed for the purchase of citrus. Yet Florida looked with concern 
at the growing materials and labor shortages that would exist in 
the coming season. The government's requirements for nitrogen 
seemed certain to cause a scarcity in this plant nutrient considered 
so vital to the success of cultivation of Florida citrus. Wartime 
restrictions on transportation had already eliminated boat ship- 
ments, and there was every indication that truck transportation 
would become difficult to acquire by the beginning of the 1942-43 
season. The adjustment to wartime government controls was still 
complicated and the summer months following the 1941-42 season 
found the citrus industry deeply involved in the application of new 
and confusing federal statutes to agricultural industry. 

As the board of directors met on June 4, 1942, the uncertainty 
of the course of future developments was apparent in the almost 
utter lack of business that came before this annual meeting. A 
resolution which established re-employment of Exchange personnel 
called into the services during the duration of the war was unani- 
mously adopted, and represented the only important business trans- 
acted, with the exception of board elections and reorganization. 

C. H. Walker was returned as president and chairman of the 
board, H. E. Cornell, first vice-president; H. G. Putnam, second 
vice-president; J. C. Palmer, third vice-president; and W. O. Kirk- 
huff, fourth vice-president. Seated on the board for the 1942-43 
season were R. J. Kepler of DeLand, W. C. Van Clief of Florence 
Villa, W. M. Moseley of Fort Pierce, H. G. Putnam of Oak Hill, 
C. B. Hipson of Umatilla, A. R. Updike of Lake Wales, J. W. Smith 
of Brooksville, J. C. Palmer of Windermere, W. O. Kirkhuff of 
Bradenton, William G. Geier of Windermere, D. A. Hunt of Lake 
Wales, C. H. Walker of Avon Park, and H. E. Cornell of Winter 
Haven. 

192 



1941-1942 



There was no change in department officials, with staff positions 
being held by C. C. Commander, general manager; Fred S. Johnston, 
sales manager; L. D. Aulls, traffic manager; S. L. Looney, treasurer- 
comptroller; Counts Johnson, secretary and general counsel; and 
James Samson, assistant secretary. 



193 



CHAPTER 29 



1942^1945 



BY THE BEGINNING of the 1942-43 season, 
Florida's entire citrus industry was geared to the nation's war 
effort. Labor, transportation, distribution, sales efforts, cultivation, 
and every other element of the industry had become limited in 
freedom of action through government restrictions on all civilian 
enterprise. Because of this, the history of this period reflects little 
in the way of variation of policy or activity within the Florida 
Citrus Exchange or, for that matter, within the entire industry. 
This history will, therefore, attempt to cover the seasons of 1942-43, 
1943-44, and 1944-45 under this single heading. Names of the 
members of the Exchange board of directors during each of these 
seasons will be found at the end of this chapter along with the 
names of the officers and department heads for each season. 

It must be noted at the beginning of this review of the war 
years that the purchasing activity of the government had become 
the largest single factor affecting the industry by the beginning of 
the 1942-43 season. All production of canning and processing 
operations had been requisitioned by the government for military 
and lend-lease use early in the season. Tin allotments became the 
basis upon which such control was exercised, and the only ex- 
ception to this blanket purchase for the 1942-43 season to be noted 
occurred when slightly over ten million cases of grapefruit juice 
were made available for civilian purchase and consumption. 

This utilization of processed products by the government had 

194 



2942-1945 

a most favorable reaction on the economy of the fresh-fruit phase 
of the industry. For, in common with other industries producing 
essential products for military and civilian uses, it enjoyed a seller's 
market throughout the three-season period. The Florida Citrus 
Exchange, in this regard, experienced the most outstanding series 
of seasons in its entire history, demonstrating the values of cooper- 
ative service to its members. Fortunately, the Exchange, along 
with the industry, dealt in products essential to the health of the 
nation, such classification almost automatically giving it advantages 
over other industries of less essential nature. Throughout the period 
the Exchange enjoyed certain considerations in the handling of 
its products, which tended to ease substantially the normally diffi- 
cult task of sales and distribution. 

The total volume of production of citrus in Florida jumped to 
new records in the 1942-43 season as the industry reached near the 
70,000,000 box mark, and again in the 1943-44 season when pro- 
duction reached 80,800,000 boxes. A hurricane which swept the 
state on October 19, 1944, destroying an estimated 25,000,000 boxes 
of fruit, held the season 1944-45 to 69,100,000 boxes total, but 
even this retarded season reached production levels never attained 
before the war. 

While the commercial interests in the industry struggled through 
these difficult but prosperous war years, certain developments in 
citrus research were taking place that were eventually to change 
the entire future of the industry. During the 1943-44 season Dr. 
L. G. MacDowell of the Florida Citrus Commission and Dr. A. L. 
Stahl of the University of Florida Agricultural Experiment Station, 
working together on the development of a frozen citrus concen- 
trate, were reporting success in their undertaking. This item of 
interest appears in the Exchange's report for the 1943-44 season: 

How important frozen citrus concentrates become in the dis- 
tribution of Florida citrus fruit remains to be seen, but it is believed 
these new products may find a substantial outlet with the institu- 
tional trade, with soda fountains, and, in time, through the pack- 
aged frozen-food industry. Two plants for the manufacture of 
frozen citrus concentrates are being equipped at Orlando and the 
University at Gainesville to perfect the processing and freezing 
methods. The Florida Citrus Exchange is taking an active interest 
in this new product, with the view to utilizing it for the benefit 
of its members if it proves to be practical. 

195 



FIFTY YEARS OF CITRUS 

The matter of frozen concentrates is also discussed in the annual 
report for the 1944-45 season: 

Frozen orange juice concentrate received its first extensive com- 
mercial test late this season when Peoples Drug Company used it 
for preparing orange drinks in its Washington, D. C, stores. This 
product came from the laboratories and was produced in limited 
quantity for the first time in 1944. Frozen concentrate for the 
Washington test is being made by Citrus Concentrates, Inc., for 
Knight and Middleton, Inc., of Dunedin. Preliminary reports indi- 
cate that fountain customers like orange juice made from con- 
centrate about as well as that made from fresh fruit; also, because 
it is easier for them to handle, the drug stores can sell more orange 
juice when they make it from concentrate. This test shows that 
thus far the Washington drug firm is selling more boxes of fruit 
for Florida growers than when it used fresh oranges. 

Another interesting note in the same annual report had this 
to say: 

A series of tests with citrus juice crystals or powders and frozen 
concentrates was conducted by National Research Corporation at 
a pilot plant at Plymouth, Florida, this season, in cooperation with 
the Plymouth Citrus Growers Association. These experiments were 
so successful that plans are being made for the construction of a 
$1,000,000 plant at Plymouth to produce these products commer- 
cially. 

The effect of the war on the Florida Citrus Exchange and its 
affiliated associations, with regard to financial stability, is to this day 
a favorite topic of conversation. There is no doubt that by the 
close of the 1943-44 season the Exchange and many of its asso- 
ciations had shed all debt remaining from the depression years. 
The Exchange itself had accumulated reserves with which to 
finance future operations, and on every front the financial condition 
of all Exchange affiliated organizations was considered to be ex- 
cellent. Prices received by the growers for their fruit during the 
three-season period enabled many of them likewise to retire in- 
debtedness, and they were also in a position to face the uncertain 
years ahead with greater financial stability. 

While the volume of fruit handled by the Florida Citrus Ex- 
change during this period continued to increase, little of the in- 
creased tonnage came from new members. Various communications 

196 



1942-1945 

indicate that every affiliated association in the Exchange system 
was forced at one time or another to refuse applications for mem- 
bership because labor and container shortages made it impossible 
to handle the additional tonnage offered. This situation led to the 
adoption of a policy by the Exchange that it would serve first those 
members who owned the facility, refusing to accept new members 
if by doing so there would be a lessening in any way of the effi- 
ciency of its service to its established grower-membership. 

Pricewise, there is every indication that Exchange members 
fared better than their competitors even during the prosperous 
war years. The following report, heard by the board in May, 1944, 
is indicative of this opinion: "Until the shipping season ends, in 
July, accurate comparisons cannot be made of the prices received 
by Exchange and other growers during the 1943-44 season. But 
the preliminary reports of affiliated associations show returns to 
Exchange growers which in nearly every instance are substantially 
higher than the returns received by most other growers. The dif- 
ferences frequently are 25 cents a box and as high as 50 cents." 

But no matter how successful the industry had become during 
the war years, intelligent citrus leaders throughout the state looked 
to the future with great concern. This concern was brought into 
sharp focus during the 1944-45 season when hostilities in Europe 
were concluded. The future of Florida citrus was largely un- 
predictable because the economic conditions of readjustments after 
the war would inevitably affect citrus as well as other agricultural 
industries. 

The steadily increasing production of citrus fruit in Florida, 
as well as in other producing areas at the time, would most cer- 
tainly present serious problems in the years to come. Continued 
plantings of new groves in Florida, which had been extensive 
during the period from 1942 to 1945 partly because of reduced 
expense of planting made possible by federal tax regulations and 
partly because of the prosperity of the recent years, were expected 
to increase the state's production to well over the 100,000,000-box 
mark annually. Conversely, the industry could look for a lessened 
demand for both fresh and processed products during the period 
of readjustment following the war. In no logical fashion could 
the industry look to the government for continued purchase of the 
large quantities of citrus fruit that it had consumed during the 
war years. In addition, greater supplies of competing fruits could 

197 



FIFTY YEARS OF CITRUS 

be expected to affect the future distribution and price levels of 
citrus. 

There was also the feeling by many in the industry that changes 
in supply and demand and in economic conditions would come so 
quickly that the Florida citrus industry must immediately proceed 
to find new ways to market more fruit. According to Exchange 
presentations at the time, one such way would be to have a greatly 
expanded advertising and promotion program for both fresh and 
processed products. 

In spite of the good conditions which existed at this time, the 
Exchange had not forsaken its diligent search for effective control 
of distribution. That this was true is indicated by a report in May, 
1944, to the board by General Manager Commander: 

If, in the years ahead, the production of citrus fruit is to be 
profitable to growers, there must be effective control of the dis- 
tribution and marketing of our crops, both fresh and processed. 
Research and advertising, as much as they are needed, will not 
alone solve the future problems of the industry. 

The Florida industry must effectively coordinate the marketing 
of its fruit so as to be able to work with the California and Texas 
industries for the cooperation of all producing areas will be needed 
to find ways to market future crops at profitable prices. 

With the conclusion of the war in Europe in May, 1945, the 
Florida citrus industry could pause to take comprehensive stock 
of developments during the war period for the first time in three 
years. 

In legislative matters, the Florida legislature of 1945 had enacted 
a group of twenty bills which had been sponsored by industry 
groups working in general harmony with each other. The prin- 
cipal effect of the new laws would be to strengthen the Florida 
Citrus Commission so that the agency would be better equipped 
to serve the industry in the postwar period. Generally considered, 
most important of these bills were provisos to change the following: 

Qualifications of Commission members to provide that five of 
the 11 Commissioners would be owners or paid employees of citrus 
packing, processing, or marketing organizations in addition to 
holding grower status; 

An increase in the Orange Advertising Tax; 

A reduction in citrus inspection taxes; 

198 



1942-1945 

A sizable increase in the state's citrus research program at the 
Citrus Experiment Station. 

The crop outlook at the close of the 1944-45 season was for 
a short season in 1945-46 as a result of an extended drought which 
destroyed a heavy early bloom. In May, 1945, the Exchange made 
the following forecast for the benefit of its members: 

Florida growers should be able to market their fruit at satis- 
factory prices next season. The outlook for later years is more 
uncertain. The citrus industry, like most other farming activities, 
faces a period of readjustment. When the Pacific fighting ends we 
must find markets for the increase in our production during the 
war years which government agencies have taken. The problem is 
greater in Florida than in either Texas or California because our 
production has increased more. 

In 1940-41, before our entry into the war, Florida produced 
56,000,000 boxes of fruit. It had a crop of 92,000,000 boxes on the 
trees this season before the hurricane in October. Much of this 
increase has been taken up by the government, and it is for that 
part of our production that we must develop new markets after 
the war. Production of winter oranges in California has increased 
none at all during the war years, and grapefruit production in 
Texas has increased less than in Florida. It will be up to Florida, 
therefore, to develop a greater postwar civilian demand. 

With regard to advertising, Indian River members of the Florida 
Citrus Exchange had continued the advertising of its florigold 
brand in metropolitan Eastern markets to further development of 
consumer preferences. Other affiliates of the Exchange resumed 
their brand advertising efforts in select markets, but there was no 
concerted advertising effort on the master brands of the Exchange 
during the 1944-45 season. 

The war years had drawn heavily on the talents of the Ex- 
change's legal department and the last year of the war was no 
exception. Matters of liaison with the Office of Price Administra- 
tion, the War Labor Board (which had provided war prisoner labor 
for many growers during the past two seasons), and the Treasury 
Department, as well as a heavy load of suits against railroads for 
delayed shipments, had thrown a considerable workload upon this 
phase of the Exchange organization. By this time the Growers 
Loan and Guaranty Company was providing financial assistance 
to meet most of the major needs of all affiliates, and its obligation 

199 



FIFTY YEARS OF CITRUS 



to the Federal Farm Board had been concluded during the 1943-44 
season. 

Florida Citrus Exchange 



BOARD OF DIRECTORS 



Sub-Exchange 

Clark 

Florence Villa 

Fort Pierce 

Indian River 

Lake 

Lake Region 

N. Pinellas 

Orange 

Pinellas 

Plymouth 

Polk County 

Scenic 

Winter Haven 



1942-43 
R. J. Kepler 
W. C. Van Clief 
W. M. Moseley 
H. G. Putnamf 

C. B. Hipson 
A. R. Updike 
J. W. Smith 
J. C. Palmer** 
W. O. Kirkhuff* 
W. G. Geier 

D. A. Hunt 
C. H. Walker§ 
H. E. CornellJ 

§ President and Chairman of 
X First Vice-President 
f Second Vice-President 
** Third Vice-President 
* Fourth Vice-President 



1943-44 

I. J. Pemberton 
W. C. Van Clief$ 
W. M. Moseley 
W. S. Buckingham* 
J. N. Mowery 
A. R. Updike 

A. V. Saurman 
P. C. Petersf 
W. O. Kirkhuff** 

B. J. Schwind 
D. A. Hunt 

C. H. Walker§ 
G. B. Aycrigg 

the Board 



1944-45 

I. J. Pemberton 
W. C. Van Clief J 
W. M. Moseley 
W. C. Graves, Jr.* 
J. B. Prevatt 
A. R. Updike 
A. V. Saurman 
P. C. Petersf 
W. O. Kirkhuff** 
A. C. Johnson 
D. A. Hunt 
C. H. Walker§ 
G. B. Aycrigg 



STAFF EXECUTIVES 



Position 
Gen. Manager 
Sec. and Legal 
Asst. Gen. Mgr. 
Sales Manager 
Asst. Secretary 
Traffic Mgr. 
Treas.-Compt. 



1942-43 

C. C. Commander 

Counts Johnson 

None 

F. S. Johnston 

James Samson 

L. D. Aulls 

S. L. Looney 



1943-44 

C. C. Commander 
Counts Johnson 
Marvin H. Walker 
F. S. Johnston 
James Samson 
E. E. Gaughan 
S. L. Looney 



1944-45 

C. C. Commander 

Counts Johnson 

None 

F. S. Johnston 

James Samson 

E. E. Gaughan 

S. L. Looney 



200 



CHAPTER 30 



1945*1946 



DURING the first season following the 
close of all hostilities of World War II, Florida marketed more 
fruit than in any other season in the history of the industry. The 
volume of production substantially exceeded eighty-five million 
boxes compared with productions of sixty-nine million boxes in 
1944-45 and eighty million boxes in 1943-44. While returns per 
box on some varieties did not reach the heights of the 1944-45 
season, the total returns to Florida growers were greater than ever 
before. That it was Florida's finest season up to this time, there can 
be little doubt. The price levels received for this highest-production 
volume are graphic proof that the industry was never in a finer 
position. 

To serve as its board of directors for the 1945-46 season, the 
Exchange elected E. G. Todd of Avon Park, I. J. Pemberton of 
Jacksonville, John L. Olson of Dundee, W. C. Van Clief of Winter 
Haven, W. M. Moseley of Fort Pierce, H. C. Allan of Oak Hill, 
J. B. Prevatt of Tavares, A. R. Updike of Lake Wales, A. V. Saurman 
of Clearwater, P. C. Peters of Winter Garden, W. O. Kirkhuff of 
Bradenton, A. C. Johnson of Mount Dora, D. A. Hunt of Lake 
Wales, C. H. Walker of Avon Park, and George B. Aycrigg of 
Winter Haven. C. H. Walker served as president and chairman of 
the board; W. C. Van Clief as first vice-president; P. C. Peters as 
second vice-president; W. O. Kirkhuff as third vice-president; and 
H. C. Allan as fourth vice-president. 

201 



FIFTY YEARS OF CITRUS 

There was no change in the appointment of staff executives for 
the 1945-46 season. They were C. C. Commander, general manager; 
Fred S. Johnston, sales manager; E. E. Gaughan, traffic manager; 
S. L. Looney, treasurer-comptroller; Counts Johnson, secretary and 
general counsel; and James Samson, assistant secretary. 

The Exchange and many others had been apprehensive of the 
postwar possibilities for Florida citrus — an apprehension supported 
by both government and industry economists at the time. This 
fear was based on the fact that the government, which purchased 
fourteen million boxes of Florida citrus during the 1944-45 season, 
would purchase practically no citrus with the close of the war. 
Official forecasts were that unemployment in the nation could be 
expected to reach eleven million people in the first year of the 
readjustment period. While it is true that the government pur- 
chases of citrus were but a small portion of its volume during 
the war years, most of the apprehension of the past year failed to 
materialize as expected. The greater supply of citrus for civilian 
distribution was readily taken up by the consumers of the nation, 
unemployment did not exceed 2,500,000 at any time during the 
season, and the supply of competing fruits became only slightly 
larger than in the preceding season. 

Another important factor affecting Florida orange prices was 
the small production and small sizes of the California Valencia crop 
during both 1944 and 1945. These conditions greatly boosted the 
consumer demand for Florida oranges in both the opening and 
closing months of the 1945-46 season. 

Price ceilings, imposed by the war effort, were suspended from 
November 19, 1945, to January 4, 1946, but were reinstated after 
orange and tangerine prices climbed quickly because of light sup- 
plies and abnormal Thanksgiving and Christmas demand. Maxi- 
mum prices of canned citrus products were removed early in the 
season, but prices paid for oranges by canners apparently did not 
exceed former ceiling reflections until the last few months of the 
season and then went no higher than under the ceilings of the 
1944-45 season. 

It is obvious that the greatest single factor affecting the record 
returns for Florida growers during the 1945-46 season was that 
consumers, with more money than ever before, were eating more 
and better foodstuffs. Records of utilization of this era seem to 
point out that most of the increased consumption of citrus fruits 

202 



1945-1946 

during this period occurred with families formerly in the lower 
income brackets. At any rate, it was the opinion of the Exchange, 
as well as that of other competent food-trend observers, that citrus 
would remain on the tables of this category of purchasers. 

There were encouraging developments on almost every front 
of the citrus industry during the 1945-48 season. The first success- 
ful commercial canning of tangerine juice had been reported, with 
a utilization of 500,000 boxes of tangerines of grades and sizes 
which could not otherwise have been marketed. Consumer accept- 
ance of this product was reported as good, and Floridians looked 
forward to a greatly expanded distribution of the "zipper-skinned" 
fruit. 

The grapefruit canning interests, which had sold virtually all 
their products to the government during the war, were somewhat 
handicapped by lack of sectionizing labor, giving rise to research 
into the possibility of mechanical sectionizers. Various reports with 
reference to grapefruit sections indicate that the trade demand 
far exceeded the supply packed during the 1945-46 season. This 
situation induced numerous canners, who had heretofore packed 
only citrus juices, to build and equip sectionizing plants for future 
utilization of grapefruit production. Development of new packs 
of citrus-fruit salads was also under discussion throughout the 
processing industry. 

Distribution of frozen concentrated orange juice, started in the 
previous season, continued to expand during the 1945-46 season. 
The distribution of this product was expected to exceed several 
hundred thousand gallons by the close of the season, compared to 
a distribution of around fifty thousand gallons during the 1944-45 
season. Even greater increase in this distribution was expected as 
more processors and distributors entered the field. By the close 
of the 1945-46 season the Plymouth plant of Vacuum Foods Cor- 
poration had commenced packing frozen orange juice concentrate 
and was also expected to produce dehydrated or powdered orange 
juice by the 1946-47 season. 

In the field of research, one notable development was the dis- 
covery that thiourea would control stem-end decay, which had 
always been one of the most serious problems in the distribution 
of Florida's fresh fruit. Test shipments already conducted by the 
government had proved that the thiourea treatment was extremely 
successful in the control of this decay. While permission to use 

203 



FIFTY YEARS OF CITRUS 

the substance commercially for this purpose had not yet been 
granted by the United States Food and Drug Administration, the 
industry was optimistic with regard to the elimination of an old 
enemy. 

Also, relative to scientific research during the 1945-46 season, 
another problem was being tackled. At the State Cattle Experi- 
ment Station in Hardee Gounty a three-month test had been con- 
ducted to establish the value of feeding waste citrus fruit to range 
cattle in the winter months when pasture feeding was limited. In 
this test whole grapefruit were fed to cattle, with detailed checks 
on the poundage consumed and weight gains of the cattle. Although 
details of the test had not been revealed at the close of the season, 
it was reported that the cattle were thriving on their grapefruit 
diet. The value of this by-product utilization was of interest to the 
entire industry, and the tests were no doubt the foundation of the 
large citrus pulp industry as it is known today. 

Other developments of the season which looked favorable dur- 
ing this period were the expected reopening of the British markets 
to the United States, the shipment of more than a hundred thousand 
boxes of fresh oranges to Sweden, smaller shipments of both fresh 
and processed products to Holland and Belgium, and the potential 
export market outlook in the Scandinavian countries. 

The Florida Citrus Exchange fared well, of course, during the 
1945-46 season. Perhaps its greatest single difficulty was in the 
marketing of the great multiplicity of late blooms of the season. 
One Exchange estimate placed a figure of 30 per cent of all fruit 
for the season from blooms that appeared after April 1, 1945. The 
later maturity of this fruit delayed harvesting but tended to stabilize 
early season prices at high levels. More oranges and grapefruit 
were processed during the 1945-46 season than in any other year 
on record. Orange processing leaped upward to nearly 36 per cent 
of total production, and grapefruit processing continued at around 
69 per cent of total production. 

While optimism abounded throughout the length and breadth 
of the Florida citrus belt at the close of the 1945-46 season, the 
Florida Citrus Exchange took stock of problems that would be 
faced in the next season. One such problem was the matter of 
freight rates. Railroads had asked the Interstate Commerce Com- 
mission for permission to raise rates on citrus fruits by 15 cents 
per hundred pounds, while the War Shipping Administration had 

204 



1945-2946 

requested an increase of twenty cents per box on rail rates of 
Florida fruit bound to North Atlantic ports. Hearings on these 
rates were already under way at the close of the season. 

The canning industry had been advised that the Food and 
Drug Administration would conduct hearings at some time in the 
near future to establish standards of identity and quality for can- 
ned citrus products. With regard to this impending revision of 
grades and establishment of standards, the Exchange's position was 
outlined in a report by the general manager to the board in May 
of 1946: 

The experiences of the 1945-46 season have demonstrated the 
need for practical, adequate standards of quality to make for greater 
uniformity in canned citrus products. With the mixing by canners 
of fruit of different varieties, and from different blooms, there has 
been a wide range of quality in canned citrus products — especially 
blended orange and grapefruit juice. To meet the future com- 
petition of other fruit juices, it is essential that there be standards 
of quality for citrus products which will meet the favor of the 
consuming public. This is one of the most complex, as well as 
one of the most important, problems of the Florida citrus industry, 
affecting not only canners but growers, too. 

There is indication that the use of eight-pound bags for oranges 
had been continued by the Exchange and had increased in direct 
proportion to the available bags. Other plans for consumer pack- 
ages of citrus fruits were apparently delayed because of the ma- 
terial shortage as well as the shortage of transportation. It is evi- 
dent, however, that the Exchange recognized a trend toward con- 
sumer packaging of citrus fruits and had already asked large retail 
outlets to study the situation. 

It is interesting to note, in the annual report for the 1945-46 
season, this item with regard to cost of fresh versus processed fruit: 

Average tree-to-car costs of handling fresh Florida oranges and 
grapefruit increased almost 60 per cent during the period 1938-39 
to 1944-45. In the same period, the cost of processing citrus fruit 
showed a smaller increase, as less labor is involved in canning. 

All changes in cost factors are favoring the distribution of 
processed fruit to the disadvantage of fresh fruit. The prospective 
increase in freight rates, higher wood container costs, and higher 
labor costs will further tend to make it more economical for con- 
sumers to obtain their citrus fruits in processed form. 

205 



FIFTY YEARS OF CITRUS 

Fresh fruit markets must be maintained, because Florida grow- 
ers cannot depend upon the processing industry to utilize all of 
their crops at profitable prices. The widening differential between 
fresh and processed distribution costs makes essential every pos- 
sible improvement, every possible economy, in fresh-fruit packing, 
distribution, and merchandising, to meet the increasing competi- 
tion of processed products. 

It is quite possible that the growing concern over the competi- 
tion of processed citrus products was responsible for the actions 
of the board on May 17, 1946, when it authorized the re-establish- 
ment of a department within the Exchange to handle the sale of 
processed products of affiliated associations and associate shippers 
operating processing plants. The action followed a rather lengthy 
discussion and a comprehensive survey of the problems of market- 
ing processed fruit. Under the new Exchange canning program, 
the use of the Exchange trademarks would be limited to partici- 
pating plants, and standards of quality would be established for 
products packed under these brands. The use of the master brand 
seald sweet would be limited to canned citrus products meeting 
the minimum standards of the "fancy" grade. 

Thus the board completed another cycle in the change of policy 
through the years. It will be remembered that the Exchange had 
pioneered the entry of Florida into citrus processing in the 1920 , s, 
and had actually financed the construction of various plants for 
the purpose of canning grapefruit "hearts." The marketing of 
processed grapefruit products had been undertaken at the same 
time. This interest in processing had continued until the disastrous 
times of the big depression when the board, faced with retrenching 
necessity, had narrowed Exchange activity to the exclusive pursuit 
of fresh-fruit sales. 

But the marketing of canned citrus products was again to be 
taken up by the Florida Citrus Exchange, which would handle 
these products cooperatively in accordance with state and federal 
cooperative marketing laws. An advisory committee would be 
established consisting of one representative from each processing 
plant controlled by affiliates of the Exchange, and a representative 
of the Exchange, to advise the board of directors in all matters 
relating to its canned citrus marketing. 

The 1945-46 season closed out later than usual because of the 
bloom condition mentioned earlier in this chapter. By May 4, 

206 



1945-1946 

1945, however, it was reported that seasonal auction prices of 
Florida oranges would average $4.51 per box, while grapefruit 
prices would average $3.87. Perhaps the most spectacular weekly 
average for Florida citrus went to tangerines, which reached $7.00 
per box during the period from November 19 to January 4. Total 
volume of sales of the Florida Citrus Exchange during the 1945-46 
season was placed at $65,000,000 — the highest in its thirty-one 
years of cooperative marketing. The percentage of interstate ship- 
ments of fresh Florida fruit handled by the Exchange had increased 
substantially during the season, and from all points of view the 
season was the most successful year in Exchange history up to 
this time. 

The annual meeting for the 1945-46 season was held on June 6, 

1946, with no change made in the board for the first time in the 
history of the cooperative. Officials of the board also remained 
unchanged, and with the exception of the addition of Carlisle Kyle 
to fill the newly reactivated post of advertising manager, staff posi- 
tions were all carried over with the personnel of the 1945-46 season. 



207 



CHAPTER 31 



1946^1947 



THE 1946-47 season had no sooner gotten 
under way when difficulties and setbacks crowded in to arouse the 
industry rudely from its gold-spun recollections of the 1945-46 
season. The period opened with the government estimate of 101,- 
700,000 boxes of citrus for the season. Concurrently, the Florida 
Citrus Commission released reports showing stocks of canned citrus 
juices to be about 17,000,000 cases, an unprecedented carry-over 
by at least 10,000,000 cases. Since Florida was packing an esti- 
mated 75 per cent of all canned citrus juices in the country, these 
figures indicated that the industry had actually sold to consumers 
but 78,500,000 boxes of its 1945-46 production of 86,000,000 boxes. 
It would begin the 1946-47 season with a new crop plus this carry- 
over inventory for a combined total of 109,200,000 boxes, or 30,- 
700,000 boxes more than had been sold to consumers in any pre- 
vious season. 

Under these conditions, it was a matter of routine that Florida 
citrus prices declined under heavy shipments and nationwide pub- 
licity about overproduction and surplus stocks shortly after the 
opening of the season. By early December most orange sales were 
returning less than what the Exchange considered to be average 
production costs, and by mid-January grapefruit and tangerine sales 
were at comparably low levels. By early February prices had 
descended to critically low levels. Canners were paying scarcely 
enough for oranges and tangerines to cover the cost of harvesting 

208 



1946-1947 

and hauling, and just slightly more for juice-type grapefruit. Then, 
as has happened so often during the history of Florida citrus, 
Nature took control of the situation. Unusually warm weather late 
in the period from September through January preceded a Feb- 
ruary freeze by only a few days. The freeze curtailed production 
by an estimated 20,000,000 boxes to a total of 87,000,000 boxes. 

After the freeze a seven-day shipping embargo imposed by the 
Florida Citrus Commission restored fresh orange and grapefruit 
prices to fairly profitable levels, and the psychological effect of 
the freeze losses served for a time to hold a profitable price level. 
But as shipments resumed in heavy volume, fresh-fruit prices grad- 
ually declined again. By mid- May prices were below levels that 
would return profits to growers. 

While the profits-picture was anything but favorable during the 
1946-47 season, certain noteworthy developments were occurring 
with regard to distribution of Florida citrus. With an eventual 
harvest of approximately the same proportion as that of the pre- 
ceding season, sales to consumers in both fresh and processed form 
were greater to the extent that they utilized the season's harvested 
production. By May 17, 1946, Florida fresh-fruit shipments were 
about 1,500,000 boxes greater than for the 1945-46 season, with 
indications that they would reach more than a 2,000,000-box in- 
crease by the conclusion of the season. Reported increases in retail 
sales of canned citrus juices were expected to take an additional 
6,000,000 boxes. It seems reasonable to assume that lower retail 
prices were largely responsible for this situation. 

An analysis of the factors affecting fruit prices throughout the 
1946-47 season appears in the annual report of the Florida Citrus 
Exchange for that season: 

A combination of unfavorable circumstances were responsible 
for the lower prices received by the Florida growers this season. 
They were the first signs of some of the problems faced by the 
industry in its economic adjustment under postwar conditions. 

Supplies increased, not only of citrus fruits but of competing 
fruits. The production of winter oranges in all states reached 
53,460,000 boxes compared with 46,860,000 boxes last season. Apple 
production, while normal, was the highest in three years. Bananas 
were far more plentiful. 

Demand continued at a high rate, but within price limitations, 
because increasing living costs left consumers with less money for 

209 



FIFTY YEARS OF CITRUS 

food stuffs. Consumer resistance to high prices became more pro- 
nounced. The housewife became more selective, in quality as well 
as in price. 

Government purchases, which took 20 per cent of all United 
States citrus crops in the war years, dropped precipitously. In 
Florida the government bought but small amounts of citrus juices 
for its armed forces and of orange juice concentrate for the school 
lunch program. 

Quality was also an important factor. The unusually hot weather 
in fall and early winter months affected the flavor, appearance, 
and condition of Florida crops. California commanded much higher 
prices principally because our fruit did not meet trade acceptance. 

The quality of much of the carry-over stocks of canned citrus 
juices, packed from late-bloom 1945-46 crops, was unsatisfactory. 
It was the quality of these old stocks, as much as the quantity 
carried over, that caused price declines at the opening of the 
1946-47 season. 

High prices charged by many retailers for fresh Florida fruit, 
months after early f.o.b. prices declined, slowed consumer sales 
and added to marketing problems. The large retail groups which 
keep their prices in line with costs were of great help. 

Price competition of Texas was a serious problem in marketing 
Florida grapefruit. 

The decline in crop values after the opening of the season was 
hastened by the trade's refusal to buy more than its current needs 
of new pack citrus juices, in expectation that prices would go still 
lower. Because of the large carry-over, its current needs were small. 

It was not until after the first of the year, when wholesale and 
retail canned juice prices reached ridiculously low levels, that 
trade purchases increased. But even then, and throughout the 
season, trade factors were reluctant to buy juices extensively for 
future sale. 

The efforts of the government to bring about a reduction of all 
prices was particularly harmful to the marketing of late Valencia 
oranges. The psychological situation which it created among con- 
sumers and retailers tended to force Florida fruit prices, already 
low, to even lower levels. 

The Exchange progressed very little during the 1946-47 season 
in the development of future markets, although some progress could 
be seen in the development of beverage bases from citrus. 

In the foreign-trade field, the Exchange was watching closely 
the results of a comprehensive study of world market opportunities 

210 



1946-1947 

being conducted by the Florida Citrus Commission. The Florida 
Citrus Producers Trade Association, long since reactivated and 
rejoined by the Exchange, had obtained a British offer for the 
purchase of 1,000,000 boxes of fresh Valencia oranges during the 
season, but the offer apparently occurred during the slight domestic 
market advance following the freeze and was not accepted. 

The Exchange's relatively new canning division, hampered by 
the expected slow-moving initial progress in production, had been 
successful in obtaining nearly a hundred brokers by the close of 
the season, but had made distribution to seventeen states and three 
Canadian provinces in only limited quantities. 

Activities of the Exchange's advertising department were in- 
creased substantially during the season, partially in expectation of 
the increased advertising activity for those processed products 
handled by the organization. It is interesting to note that equal 
emphasis was placed on both fresh and processed products wherever 
seald sweet promotions were conducted. 

The Indian River district, by now a veteran advertiser of its 
florigold and flo brands, continued its aggressive campaign in 
its specific distribution areas, and continued to command premium 
prices for its brands. 

Other associations, preparing to identify their fresh fruit by 
stamping methods, were planning considerably more advertising 
in the season to come, and a total of seventy thousand pieces of 
point-of-purchase material was distributed by Exchange dealer 
service crews at work in various market areas. 

On April 30, 1947, the Growers Loan and Guaranty Company 
completed its thirtieth year as an affiliated agricultural credit cor- 
poration of the Florida Citrus Exchange. As usual, the difficulties 
of the 1946-47 season saw the company embarked on a full program 
of assistance to Exchange growers and affiliates. Happily, the war 
years had placed this arm of the organization in sound financial 
condition, with ample resources to finance all sound loan require- 
ments of the associations and their members. 

The Exchange Supply Company concluded its thirty-first year 
of service during the 1946-47 season. Conditions during the season, 
with regard to supplies and materials, had eased somewhat from 
the difficulties of the war years, and by the close of the season the 
Exchange Supply Company could assure all Exchange members of 
prompt service during the following season. 

211 



FIFTY YEARS OF CITRUS 

The annual meeting of the board for the 1946-47 season took 
place on June 5, 1947, with the following directors seated to serve 
during the 1947-48 season: 

E. G. Todd of Avon Park representing the Avon Park Citrus 
Sub-Exchange, I. J. Pemberton of Jacksonville representing the 
Clark Special Citrus Sub-Exchange, John L. Olson of Dundee rep- 
resenting the Dundee Sub-Exchange, W. C. Van Clief of Winter 
Haven representing Florence Villa Citrus Sub-Exchange, W. M. 
Moseley of Fort Pierce representing the Fort Pierce Citrus Sub- 
Exchange, H. C. Allan of Oak Hill representing the Indian River 
Citrus Sub-Exchange, J. B. Prevatt of Tavares representing Lake 
County Sub-Exchange, A. V. Saurman of Clearwater representing 
North Pinellas Sub-Exchange, F. W. Moody of Palm Harbor rep- 
resenting the Pinellas Sub-Exchange, P. C. Peters of Winter Garden 
representing Orange County Sub-Exchange, Armer C. Johnson of 
Mount Dora representing the Plymouth Sub-Exchange, D. A. Hunt 
of Lake Wales representing the Polk County Sub-Exchange, C. H. 
Walker of Avon Park representing Scenic Citrus Sub-Exchange, 
George B. Aycrigg of Winter Haven representing the Winter Haven 
Sub-Exchange, and A. R. Updike of Lake Wales representing the 
Lake Region Sub-Exchange. 

Officials elected for the 1947-48 season were C. H. Walker, 
president and chairman of the board; W. C. Van Clief, first vice- 
president; P. C. Peters, second vice-president; A. V. Saurman, third 
vice-president; H. C. Allan, fourth vice-president; Counts Johnson, 
secretary and legal counsel; James Samson, assistant secretary; and 
S. L. Looney, treasurer. C. H. Walker, elected president at this 
meeting, was destined to serve only a short time as the head of the 
cooperative. His death on October 12, 1947, created a vacancy 
that was filled by W. C. Van Clief, first vice-president. This move 
caused an eventual realignment of the officials of the board, result- 
ing in the advancement of P. C. Peters to the office of first vice- 
president, A. V. Saurman to second vice-president, H. C. Allan 
to third vice-president, and John L. Olson to fourth vice-president. 

Department heads elected to serve for the 1947-48 season in- 
cluded C. C. Commander, general manager; Fred S. Johnston, sales 
manager; S. L. Looney, comptroller; Carlisle Kyle, advertising 
manager; E. E. Gaughan, traffic manager; and C. A. Seehof, can- 
ning division manager. 



212 



CHA PTER 32 



1947*1948 



WHILE THE NATION as a whole con- 
tinued to enjoy one of the greatest and longest periods of uninter- 
rupted prosperity in its history, the Florida citrus industry seemed 
incapable of elevating its own economy during the 1947-48 season. 
This situation was viewed by the Florida Citrus Exchange as being 
both exasperating and needless in view of the various marketing 
factors that existed throughout the season. Considering that the 
90,900,000 boxes of Florida citrus produced during the 1947-48 
season had been the state's largest crop to date and that it had 
been produced within a period of higher costs and services, it 
seemed apparent to the Exchange that disorderly marketing had 
once again taken its toll from the Florida citrus grower. The size 
of the crop had been affected by a freeze and two hurricanes 
California citrus had also been curtailed because of freezing weathei 
on the West Coast, so the total American production of citrus was 
considerably under its top potential. This circumstance, together 
with the high national income, would normally have resulted in 
favorable returns to the grower. That it did not, reasoned the Ex- 
change, was a monumental warning of more difficult times to come 
as production reached toward the level of a hundred million boxes. 
Generally, Florida growers were receiving less than their cost 
of production during a period of good times, and curtailed pro- 
duction was reason enough for the industry to consider what could 
be expected when full production potential was reached, perhaps 

213 



FIFTY YEARS OF CITRUS 

at a time when the national economy would be less favorable to it. 

Although the crop was larger in the 1947-48 season, the state 
had shipped less fresh fruit to market by April 24 than it had on 
that date the preceding season. Canneries, however, had used con- 
siderably more oranges and slightly more grapefruit. Despite this 
drop in total shipments, accompanied by a similar drop in both 
California and Texas shipments, Florida oranges and grapefruit 
were averaging from twenty-five to thirty-five cents less per box 
at auction than in the 1946-47 season during the last two weeks 
of April. 

A report to the board by Sales Manager Fred S. Johnston dur- 
ing this period is indicative of Exchange thinking at the time: 

Again this season, Florida has received less money per box for 
its fruit than California, despite the fact that Florida's is one fifth 
of a bushel larger, and a box of Florida oranges contains from 
five and one-half to six gallons of juice, compared with only three 
and one-half to three and three-fourths gallons for a box of Cali- 
fornia Navels. Considering that Florida offers the customer more, 
and receives less, there must be something wrong with the way 
it's being offered. 

Once again there could be little doubt that Florida's failure to 
arrive at some sort of cooperative marketing distribution plan had 
been effective in making a poor season out of what logically should 
have been a good one. However, the times of adversity were com- 
bining to set the scene for another attempt at cooperation by the 
industry. The following article appeared in the Exchange's annual 
report for the season: 

There was considerable comment throughout the state this 
season on the obvious need for cooperative marketing in the Florida 
citrus industry. It was pointed out that the industry needs an or- 
ganization that would control a big majority of the tonnage and 
lend its influence to the plan to bring canners under the Federal 
Marketing Agreement Act, and work toward a state volume prorate. 

The Florida Citrus Mutual, a proposed organization that would 
permit participation by growers, canners, and shippers, is being 
considered by the industry, and it is hoped the industry will sup- 
port this organization to cure the existing marketing evils. 

The Exchange, through the action of its board of directors, 
went on record as favoring any cooperative plan that is legal, prac- 
tical, fair, and for the good of the growers. 

214 



1947-1948 

The official minutes of the Florida Citrus Exchange show this 
action taken by the board on February 26, 1948: 

A RESOLUTION 

BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE 

FLORIDA CITRUS EXCHANGE IN REGULAR 

MEETING DULY ASSEMBLED: 

Section 1. That the Florida Citrus Exchange approves the 
principles of cooperative marketing as will be exemplified by and 
through the operation of Florida Citrus Mutual. 

Section 2. That the Florida Citrus Exchange shall become a 
member of Florida Citrus Mutual, and the proper officers of said 
Exchange shall execute the membership contract required by said 
Mutual, the same to be effective when similar contracts, represent- 
ing 75 per cent of the citrus fruit production in Florida based on 
the 1946-47 season's production, have been executed. 

Section 3. That in order to assure the fullest measure of benefit 
to the affiliated organizations of the Florida Citrus Exchange 
through the latter's membership in said Mutual, said affiliates of 
the Exchange shall execute the standard grower contract prescribed 
by the Mutual. 

Section 4. That this resolution shall take effect immediately 
upon its passage and adoption. 

An additional item in the minutes of the February 26, 1948, 
meeting of the board provided that the executive officers of the 
Florida Citrus Exchange were authorized to make contributions on 
behalf of the Exchange to the organization expense of Florida 
Citrus Mutual. From communications and other records in the 
Exchange files there is little doubt that the movement for the 
organization of Florida Citrus Mutual gained the immediate favor 
and support of the Exchange. While the individual services of Ex- 
change personnel in this respect are not officially recorded, this 
also was most certainly considerable. 

With regard to the 1947-48 season, it is interesting to note that 
more than one-half of Florida's crop was utilized by canneries. 
Sales of canned orange juice were up more than 40 per cent over 
the previous twelve-month period and, as a result, canneries utilized 
more oranges than ever before. Meantime, although the overwhelm- 
ing majority of the grapefruit crop was going into cans, the total 
grapefruit pack lagged behind the greatly increased orange pack. 
It seems certain that sale of grapefruit juice was being affected 

215 



FIFTY YEARS OF CITRUS 

at this time by the rather poor-quality grapefruit pack during the 
war years. 

The federal government, during the 1947-48 season, purchased 
an estimated $2,918,000 in Florida citrus products, mostly single- 
strength canned juices, and concentrates for use in school lunch 
and foreign-aid programs. Concentrated orange juice was being 
used increasingly in the school lunch program. A purchase in 
September by the government of 78,036 gallons was followed later 
in the season by a purchase of 672,000 gallons. Prices ranged from 
$2.40 to $2.55 per gallon for these purchases. 

The frozen concentrate plants at Plymouth, Lake Wales, and 
Dunedin had operated throughout the 1947-48 season at near ca- 
pacity. Indications are that the production of these three plants 
was of sufficiently high quality to meet with favorable consumer 
acceptance wherever introduced. This led to the general belief in 
the industry that citrus products could be marketed profitably 
when buyers had confidence in the quality of the product. Un- 
fortunately, the industry had established no control of the quality 
of single-strength canned juices, and its control of the quality of 
fresh fruit was not effective to a large extent. The Florida Citrus 
Exchange, realizing this necessity for better standards for fresh 
fruit, appointed during the season a permanent grade committee 
comprised of experienced packinghouse managers to recommend 
standards of quality for seald sweet citrus. This was an effort to 
combat the effects of the relatively poor quality of the 1947-48 
season caused by excessive rainfall, hurricanes, and freezes. 

On another front in the industry the Exchange had established 
a $1,000 scholarship in cooperative marketing to be awarded an- 
nually to an outstanding graduate of the College of Agriculture 
at the University of Florida. Other research projects of the season 
included important developments at Florida Southern College's 
new citrus school in the study of vitamin P and the continued 
search for practical methods of selling citrus juices in the beverage 
field. 

One phase of Florida's citrus trade, that of the export market, 
had been completely eliminated during World War II. That this 
was an important economic factor for Florida, particularly during 
the 1947-48 season, is obvious in the light of the United States 
prewar fresh-citrus exports, which had totalled ten million boxes 
of fresh citrus and over five million cases of canned citrus products. 

216 



1947-1948 

Although the Exchange had planned to re-enter the European 
and Asiatic trade markets during the 1947-48 season, a dollar short- 
age in those countries forced the organization, as well as all of 
the Florida exporters, to postpone the development of these po- 
tentially important avenues established by the Canadian govern- 
ment on November 18, 1947, in an effort to conserve the dollar 
exchange. This quota system, which amounted to an embargo 
insofar as Florida growers were concerned, resulted in the Can- 
adian purchase of Mexican and Italian citrus, sometimes with 
American dollars, to the detriment of the Florida citrus industry. 

Probing the export market potentiality at the close of the 
1947-48 season, the Exchange believed that export markets existed 
for fresh fruit in nine European countries and for canned citrus 
fruits and juices in twenty foreign countries. Following the close 
of the season a representative of the Exchange toured Europe to 
make further studies of the export possibilities. 

The board of directors of the Exchange met on June 3, 1948. 
The past season stirred no fond recollections for the Exchange as 
it convened in annual meeting, and the outlook was that the com- 
ing season would bring its own parcel of problems. Indications 
were that Florida's 1948-49 citrus crop would be even larger than 
the record-breaking production of ninety-one million boxes for the 
1947-48 season, and weather conditions had been favorable up to 
this time for a better quality crop. 

Buyers were becoming more cautious and were, as a rule, 
demanding better quality in citrus as well as in all other food 
products. Aware of this fact, the Florida Citrus Commission had 
appointed a grades committee to work with the state and federal 
departments of agriculture in an endeavor to establish better stand- 
ards for Florida fruit. The Exchange looked forward to some im- 
provement in the standards for fresh fruit by the beginning of the 
1948-49 season. At the same time an effort was also being made 
to improve the quality of canned citrus juices, but there is some 
indication that progress was not expected in this regard during 
the coming season. 

Florida could expect keen competition from Texas grapefruit 
in the new season, and California groves would, because of drought 
during the spring, produce less than normal crops. This could 
result in higher prices for Florida producers if other factors were 
held in line. 

217 



FIFTY YEARS OF CITRUS 

All citrus-producing states were apparently cooperating in efforts 
to sell citrus in large quantities through the European Recovery 
Program, but the extent to which it would be included in the pro- 
gram would largely depend upon the willingness of the sixteen 
participating countries to accept citrus. Unquestionably, the volume 
of citrus utilized through the four-year Marshall Plan would be 
decided by those countries involved, along with our government, 
in relation to the availability, price, and keeping qualities. 

The United States market most certainly needed further de- 
velopment in the meantime by more intensive efforts to sell citrus 
on the basis of its health benefits, through the promotion of citrus 
salads and desserts, and by the production of better-quality fruit. 

In summarizing the 1947-48 season, the Exchange could do so 
with the knowledge that it had sacrificed a large and expensively 
produced crop during a period of national prosperity, because of 
the failure of the industry to cooperate on an effective, orderly 
marketing program designed to protect the dealers and consumers 
by preventing the shipment of poor-quality, cheap citrus products. 
Florida's citrus growers were faced with the necessity of regaining 
the confidence of both consumers and dealers in the matter of 
quality products, and through some method they would need to 
eliminate the competition of poor-quality canned citrus. 

Meanwhile, the canning division of the Exchange, now in its 
second year, had been creating excellent consumer demand for 
seald sweet products. While prices remained at less than satis- 
factory levels throughout the season, it was generally felt that top- 
quality and top-grade products would bring improved prices shortly 
after the close of the fresh-fruit season. 

The Exchange's advertising program, in support of the seald 
sweet trade-mark for both fresh and canned citrus, was extensively 
pursued during the 1947-48 season. Newspaper advertisements 
appeared in 43 daily papers twice a week in 22 principal markets. 
Local retailers in many markets supplemented Exchange advertis- 
ing by including seald sweet in their own advertisements. The 
Indian River district again enlarged its advertising program that 
had, for a number of years, been instrumental in obtaining a pre- 
mium price for its brands. 

Other departments within the Exchange system reported ex- 
tremely heavy activities during the 1947-48 season. Both the legal 
and traffic departments carried heavy workloads normally asso- 

218 



1947-1948 

ciated with high-volume seasons, but the Growers Loan and Guar- 
anty Company felt the full brunt of two successive seasons of low 
fruit prices. 

The Exchange Supply Company, in a move to appeal for more 
support from each of the associations in the Exchange system, had 
been in the throes of reorganization during much of the 1947-48 
season, but had nonetheless continued to serve the organization 
as it had done in the past. 

Directors and their sub-exchange affiliations for the 1948-49 
season were E. G. Todd of Avon Park representing Avon Park Sub- 
Exchange, I. J. Pemberton of Jacksonville representing the Clark 
Sub-Exchange, John L. Olson of Dundee representing Dundee 
Sub-Exchange, W. C. Van Clief of Winter Haven representing Flor- 
ence Villa Sub-Exchange, W. M. Moseley of Fort Pierce represent- 
ing Fort Pierce Sub-Exchange, H. C. Allan of Oak Hill representing 
North Indian River, J. B. Prevatt of Tavares representing Lake 
County, A. R. Updike of Lake Wales representing Lake Region, 
Jack N. Strong of Vero Beach representing Indian River, A. V. 
Saurman of Clearwater representing North Pinellas, Phil C. Peters 
of Winter Garden representing Orange County, Ford W. Moody 
of Palm Harbor representing Pinellas, Armer C. Johnson of Mount 
Dora representing Plymouth, D. A. Hunt of Lake Wales represent- 
ing Polk County, Charles G. Metcalf of Avon Park representing 
Scenic Sub-Exchange, and George B. Aycrigg of Winter Haven 
representing Winter Haven Sub-Exchange. 

Officers for the 1948-49 season were W. C. Van Clief, president; 
Phil C. Peters, first vice-president; A. V. Saurman, second vice- 
president; H. C. Allan, third vice-president; John L. Olson, fourth 
vice-president; Counts Johnson, secretary; James Samson, assistant 
secretary; and S. L. Looney, treasurer. 

Department heads elected for the 1948-49 season were C. C. 
Commander, general manager; Fred S. Johnston, general sales man- 
ager; S. L. Looney, comptroller; Counts Johnson, general counsel; 
Carlisle Kyle, advertising manager; E. E. Gaughan, traffic manager; 
and Frank J. Poitras, canning division manager. 



219 



CHAPTER 33 



1948^1950 



THE FLORIDA citrus industry opened the 
1948-49 season in the depths of an industrial depression which, in 
the opinion of Exchange officials, had been mostly self-imposed. 
Both Nature and good fortune, however, were disposed to look 
kindly on Florida during the two-season period from 1948 to 1950. 
Gradual higher prices to growers were in evidence almost from 
the beginning of the period, and the slowly rising tide of good 
fortune had led to a comfortable profit margin by the close of the 
1948-49 season and to undeniable prosperity by the close of the 
1949-50 season. 

The higher price trend of the 1948-49 season was caused 
principally by killing freezes in California and Texas that dras- 
tically reduced the national supply of citrus. Florida, basking 
in the mildest winter on record, virtually monopolized the nation's 
citrus market after the historic California freeze of January 3 to 11 
and also the Texas freeze on the last two days of the same month. 
Alone in the market the Florida industry probably surprised the 
trade as much as itself by resisting to a great extent the temptation 
to flood the markets under these favorable conditions. A voluntary 
volume-prorate plan of controlled shipments, introduced by the 
Florida Citrus Commission at the request of growers and shippers, 
was apparently subscribed to by a sufficient majority of shippers 
to hold supply volume in check during this period. With regard 
to the prorate plan, it should be noted that this cooperative action 

220 



1948-1950 

among shippers and growers was both unusual and commendable 
in Florida, particularly in the light of a severe drought condition 
that threatened excessive droppage in mid-season varieties in the 
central and southern parts of the citrus belt. 

Also contributing to the rising tide of fortune for the Florida 
citrus grower was the high quality of Florida citrus during the 
1948-49 season. With exceptional quality existing in all Florida 
fruit, and the doubtful quality of the freeze-damaged fruit from 
California and Texas, it seemed that Floridians had, for the mo- 
ment, every possible advantage for a good season. Not to be over- 
looked in the Florida industrial picture was the sensational increase 
in the demand for frozen orange concentrate and the resulting rush 
of the trade to increase supplies of this product. 

It is interesting to note that the Florida Citrus Exchange com- 
pleted an agreement with the Snow Crop firm during the 1948-49 
season for the sale of two million boxes of oranges to Snow Crop 
for concentrating purposes. While the sale itself was extremely 
important to the economy of the industry, an agreement between 
the two firms to establish a minimum price to assure the cost of 
production was an unprecedented move that acted as a tonic to 
the industry. Prior to this agreement, the average delivered-in 
prices being paid by canners during the season peaked at $0.65 
per box for oranges and $0.35 per box for grapefruit. By February 
14, 1949, following the completion of the contract between Snow 
Crop and the Florida Citrus Exchange, these prices had jumped 
to $1.20 for oranges and $0.60 for grapefruit. A further increase 
placed these prices at $1.95 and $0.75 by the close of the month 
of March. 

By April 1, 1949, the industry's first major battle between fresh 
and concentrate interests was shaping up into an unrealistic war 
for the remaining supply of oranges. Canners were offering as 
much as a $2.00 per box, delivered in, for oranges, and grapefruit 
prices were ranging from $0.75 to $0.90 per box. At the same time 
the f.o.b. price for fresh oranges was up to $3.25. Late in April 
the f.o.b. price for both oranges and grapefruit approached the 
$4.00 mark and by May 16 small-sized oranges were bringing $5.00 
per box. 

Canneries had packed fewer oranges but more grapefruit and 
tangerines during the 1948-49 season than during the previous 
season, and the growth of the frozen concentrate industry had been 

221 



FIFTY YEARS OF CITRUS 

phenomenal. While three concentrate plants had packed a total 
of 1,700,000 gallons of concentrate during the 1947-48 season, the 
1948-49 season saw ten plants packing an estimated 10,000,000 
gallons. The total volume of the Florida citrus crop for the 1948-49 
season was just under 93,000,000 boxes, a figure somewhat under 
the original estimate owing to the droppage of fruit mentioned 
earlier in this chapter. 

The Exchange considered the season a definite financial success 
insofar as its returns to Exchange members were concerned. A 
summary of the season by Sales Manager Fred S. Johnston was 
included in the annual report for the 1948-49 season: 

Fruit marketed by the Exchange brought higher prices this 
season than at any other time since the drastic decline in prices 
shortly after the close of the war. Compared with the two previous 
seasons, this year has been a definite financial success for growers, 
who had been in the depths of a depression while virtually all 
other farmers were enjoying the greatest period of prosperity in 
the history of the nation. 

Higher citrus prices were the result of killing freezes in Cali- 
fornia and Texas, a successful state-wide voluntary volume prorate 
introduced by the Florida Citrus Commission, the fine quality of 
Florida citrus this season, the increased purchases of citrus for 
frozen concentrate, and the below-normal carry-over of canned 
citrus stock. 

Under its canning division, the Exchange continued to increase 
activities in all trade areas. Appointment of Frank J. Poitras as sales 
manager of the canning division was made on August 1, 1949, and 
sales of seald sweet juices were made in thirty-four states and 
Canada during the summer period. 

The appointment of Guy E. Howerton as manager of the Ex- 
change and Supply Cooperative during the early part of the season 
had followed the general reorganization of the Supply Company, 
and by the close of the 1948-49 season the cooperative had reported 
nearly a 500 per cent increase in business over the preceding season. 
Thus the Exchange, along with the rest of the industry, completed 
the 1948-49 season with the feeling that the Florida citrus grower's 
lot was on the mend. The American public had money and wanted 
citrus, and the housewife was willing to pay a reasonable price 
for good-quality fruit. Per capita consumption of citrus had in- 
creased from twenty-six pounds to eighty-seven pounds in the past 

222 



1948-1950 

two decades, while consumption of most competitive fruits had 
declined during the same period. The Exchange was convinced 
that the American housewife would continue to buy an increasing 
amount of citrus, especially as the public was further educated 
by the advertising of health values of citrus and citrus products. 

There was no change in the board, its officers, or in the staff 
executives of the Exchange at the close of the 1948-49 season, 
which also saw the introduction of the familiar, all-encompassing 
Citrus Code, generally supported by the Exchange, and its accept- 
ance by the state legislature. 

Then the memorable 1949-50 season began. The outlook for 
Florida was considered good, and growers looked hopefully to 
the new Florida Citrus Mutual for the stabilization of prices at 
least above the cost of production. Florida citrus growers reaped 
the richest harvest in the history of the industry during the 1949-50 
season, and the continued prosperity was due in great part to the 
phenomenal growth of the frozen concentrate business. Popularly 
called "The Cinderella Product" by the nation's leading writers, 
frozen concentrate had come of age, and its coming would control 
the destiny of the industry for years to come. 

Other factors were present, however, to make the 1949-50 
season both progressive and prosperous. California suffered its 
second straight season of devastating freezes, Texas production 
was curtailed because of the freezes of the past season, Florida 
production was less than had been anticipated because of a hurri- 
cane, and the nations payroll reached its highest point in the his- 
tory of the country. 

Out-of-state capital began flowing into the Florida citrus in- 
dustry in almost unlimited proportions as investors became en- 
tranced with citrus and most particularly with the frozen con- 
centrate industry. Modern concentrate plants were constructed 
in almost every section of the citrus belt, and existing facilities 
were extensively remodeled and enlarged. Additional millions of 
dollars were spent to expand mechanical facilities for the produc- 
tion and transportation of the big Florida citrus crop, which had 
originally been estimated at 58,800,000 boxes of oranges, 24,000,000 
boxes of grapefruit, and 5,000,000 boxes of tangerines. In addition 
to this production one of the heaviest multiple blooms in the mem- 
ory of growers indicated the probability of a record-breaking crop 
for the 1950-51 season. 

223 



FIFTY YEARS OF CITRUS 

As for the Exchange during the 1949-50 season, this analysis 
appears in the annual report of that season: 

Although the volume of fresh-fruit shipments declined about 
30 per cent this season, because of the increased percentage of 
fruit moving to the concentrate plants, there will always be a mar- 
ket for fresh fruit. Consumers are demanding higher quality, how- 
ever, and more careful attention must be given to the grading, 
packing, and keeping quality of fresh citrus. The new maturity 
law, in effect for the first time this season, helped to insure better 
quality. Although there were some protests against the law, none 
of these protests were upheld in the courts. Some growers com- 
plained that the higher maturity law would prohibit the marketing 
of certain varieties of citrus, but there were no varieties that could 
not eventually be marketed in one of the three outlets: fresh fruit, 
frozen concentrate, or single-strength canning. 

The Florida Citrus Exchange did not move fruit in volume into 
markets during the 1949-50 season until late in October because 
of the higher maturity standards of the new Citrus Code, and be- 
cause of a later-than-usual bloom. Opening prices were high and 
the trade was anxious, so that by November 5 oranges at auction 
were bringing an average price above $5.00 per box. 

Just prior to the Christmas season the market, demoralized some- 
what, reached $3.32 by the close of November, whereupon Florida 
Citrus Mutual took control of the situation by establishing mini- 
mum prices of $2.35 f.o.b. for packed oranges and $1.10 for can- 
nery grades. The Exchange gave credit to this action for the 
immediate stability it gave to the market. 

The market continued to rise during the early part of the year 
1950, as California suffered its freezes. Frozen concentrators began 
to purchase in heavy volume, and history was made as the market 
steadily advanced to previously unheard of prices. By the end 
of the early and mid-season orange deal, concentrators were paying 
$3.50, delivered, for oranges, and the Exchange reported on March 
11 that a total of 1,353 cars of oranges had brought an average of 
$6.37 at the ten major auctions. 

As retail prices soared, sales began to drop noticeably and the 
Exchange reported that buyers were withholding orders by mid- 
April in anticipation of lower prices. Florida Citrus Mutual again 
stepped into the picture, and on April 20 established minimum 
prices for oranges at $3.25 to $3.75 and $2.50 for oranges delivered 

224 



1948-1950 

to canning or concentrate plants. This action apparently brought 
renewed stability to the market, with buyers placing orders with 
confidence that these prices would be maintained. The balance of 
the season was completed without serious threat to the over-all 
economy. 

As the season closed, the industry could take stock of its finest 
period. Florida had shipped 26 per cent less fresh citrus in all 
varieties, but favorable prices had compensated for this loss of 
tonnage. The total of all varieties processed during the season 
showed only a slight increase owing to a great reduction in the 
grapefruit pack. Processors had used only 58 per cent of the total 
movement, and of the processed oranges, 50 per cent had been 
used by frozen concentrators. It is interesting to note that the 
frozen concentrators had utilized 105 per cent more citrus during 
the 1949-50 season than during the 1948-49 season. Railroads had 
handled 46 per cent of the total of all shipments, while truck car- 
riers had handled 47 per cent and ships had accounted for the 
balance. This compared with the previous season of 60 per cent 
by rail, 40 per cent by truck, and virtually no transport by ship. 
Total production for the season had been just short of 88,000,000 
boxes, with a total of 58,500,000 boxes of oranges, 24,200,000 boxes 
of grapefruit, and 5,000,000 boxes of tangerines. 

Because of the years of experience already gained by the Florida 
Citrus Exchange, there was a note of caution injected amid the 
industry's unparalleled optimism at the close of the 1949-50 season. 
Exchange officials pointed to several factors that would affect the 
coming season in almost direct proportion to the control exercised 
by the industry. Extremely high prices, warned the Exchange, 
had lulled many growers into a feeling of security that was not 
justified by economic factors. This caution was issued by the 
Exchange to its membership at the close of the season: 

While next season should be profitable to the grower, there 
is no reason to believe that prices will be fantastically high or that 
the grower will receive more than a reasonable, modest profit on 
his investment. In fact, there are grave possibilities of an over- 
supply next season if the big crop is not marketed in orderly fashion. 

Early estimates indicate a record-breaking crop for Florida 
during 1950-51. 

California production, off 20 per cent this season, will be almost 
back to normal. Texas, likewise, is recovering at a rapid rate and 

225 



FIFTY YEARS OF CITRUS 

will market considerably more citrus next season. The total national 
citrus crop will approach or break all records, which means this 
big crop obviously must be marketed in an orderly fashion. 

If the ever-increasing production of citrus is going to be mar- 
keted, it will be necessary to utilize to the utmost capacity all 
avenues of distribution: fresh, single-strength, and frozen con- 
centrate. 

Frozen concentrate plants in Florida utilized 13,706,000 boxes 
of oranges through May 13 and can be expected to utilize even 
more during the next season. The extent of this increase will de- 
pend upon such factors as whether the quality is maintained, the 
rate at which food stores throughout the nation can be equipped 
with frozen food compartments, and the competition of other fruit 
juices. 

A recent survey indicates frozen concentrate is meeting with 
excellent acceptance when the retail price does not exceed $0.29 
for a six-ounce can. This survey also reveals that frozen concen- 
trate is more competitive to single-strength canned citrus than to 
fresh citrus. Frozen concentrate will increase the total consump- 
tion of citrus products only if the quality of this popular product 
is maintained. 

The consumption of fresh citrus has more than doubled during 
each of the last several decades as the nation has become more 
conscious of the health qualities and delicious taste of citrus juices. 
There will always be a demand for fresh citrus regardless of how 
much frozen concentrate is sold. The consumer, however, will 
demand fresh citrus that tastes as good as it looks and will promptly 
turn to frozen concentrate if the fresh fruit available is not of com- 
parable or better quality. 

The total consumption of citrus can be expected to continue 
to increase, especially considering that the four biggest concentra- 
ting facilities will spend considerably more money advertising 
Florida citrus than the growers themselves in Florida have ever 
spent in a single season. 

It was primarily an increase in consumption that enabled citrus 
to be the only agricultural commodity that received satisfactory 
prices this season, except those commodities subsidized by the 
federal government. 

Although not mentioned in the above analysis of the outlook 
for the 1950-51 season, the Exchange also looked with alarm at 
the threat of foreign citrus moving into the nation's markets be- 
cause of good demand and high prices. This threat also worried 

226 



1948-1950 

the Exchange because such movement carried the danger of entry 
of major plant pests into this country. That this was a real danger 
is indicated in a record of congressional action in Washington by 
congressmen from Florida, California, Texas, and Arizona demand- 
ing a federal embargo against truck shipments of fruit from Mexico 
as protection from the citrus blackfly. In this regard, the annual 
report of the Exchange for the 1949-50 season carries this notation: 

Another foreign threat is the Oriental fruit fly. The rapidity 
with which this fly spread in Hawaii, after being brought to that 
Island from Saipan during the war, indicates that it could obtain 
a reasonably strong foothold in almost any part of the United States. 

Senator Holland recently opposed any move to ship citrus fruit 
from Cuba into the United States through Florida ports. He wrote 
Secretary of Agriculture Brannan that such importation "would 
immediately endanger Florida's multi-million dollar vegetable and 
citrus industry because of the risk of entry of major plant pests 
on such fruit." 

Despite the increasing threat of foreign pests, the United States 
government considered a plan to relax to some extent its inspec- 
tion of passengers' baggage from abroad. The Florida Citrus Ex- 
change Board of Directors resolved "that it is unalterably opposed 
to the proposed plan of spot or percentage inspection of passengers' 
baggage from abroad, a system that would provide for the un- 
restricted entry from foreign countries of thousands of units of 
plant material, a considerable portion of which is likely to be 
infected with insects and diseases capable of causing serious eco- 
nomic injury to the horticultural and agricultural investments of 
the state and nation." 

While there is evidence that the Exchange's warning in this 
latter business of plant pests was given consideration, the issue 
was unfortunately never settled to any satisfactory extent, although 
the infestation of the fruit fly in the mid-1950's was eventually to 
emphasize the soundness of this warning. 



227 



CHAPTER 34 



1950^1952 



DURING the life of the Florida Citrus Ex- 
change its policies and philosophy had seldom changed rapidly 
except in the face of emergencies that compelled hasty action. Most 
clearly defined changes had occurred slowly and deliberately and 
were usually preceded by changes on the board of directors or on 
the executive staff. The two-season period from 1950 to 1952 saw 
several important changes in the membership of the board and in 
the top executive positions. The inexorable passage of time, as 
well as fast-moving developments within the industry, were now 
combining to close out another era for both the Exchange and the 
industry. 

There can be little doubt that the timely development of the 
frozen concentrate industry was in itself a tremendous factor in 
the period immediately following the close of the 1949-50 season. 
The rapidly rising acceptance of Florida Citrus Mutual as a 
stabilizing agency most certainly had its effect on the entire in- 
dustry, and the movement of the leadership of the industry from 
one generation to the next was bringing in its wake certain pro- 
gressive changes that were to set the pattern of the industry as 
it is known in present times. 

While the Florida Citrus Exchange entered the 1950-51 season 
with but one new addition to its board, Tom B. Swann of Winter 
Haven representing the Florence Sub-Exchange, the season was 
to see considerable change on both board and the staff before 

228 



1950-1952 

the conclusion of the season. The appointment of A. V. Saurman 
as general manager of Florida Citrus Mutual eventually moved 
him to resign on September 1, 1950, as an officer of the board and 
as a director of the Exchange. This vacancy as a representative 
of the North Pinellas Sub-Exchange was filled by the appoint- 
ment of O. J. Harvey, himself a former district manager in the 
Exchange system. On January 25, 1951, the death of S. L. Looney 
terminated thirty years of service to the Exchange organization, the 
last seventeen years of which he had served as the treasurer-comp- 
troller as well as the executive vice-president of the Growers Loan 
and Guaranty Company. The board then unanimously named 
James Samson, an employee of the Exchange since 1926 and in 
more recent years the assistant secretary of the organization, to 
the positions formerly held by Looney. On March 22, 1951, W. C. 
Van Clief tendered his resignation as president of the board and 
as a special director of the Exchange. Named to succeed him as 
president was J. B. Prevatt, a member of the board representing 
the Lake County Sub-Exchange. 

As the board completed the 1950-51 season it was composed of 

A. R. Updike of Lake Wales, I. J. Pemberton of Jacksonville, Tom 

B. Swann of Winter Haven, W. M. Moseley of Fort Pierce, Jack 
N. Strong of Vero Beach, Charles G. Metcalf of Avon Park, J. B. 
Prevatt of Tavares, John L. Olson of Dundee, H. C. Allan of Oak 
Hill, O. J. Harvey of Tampa, P. C. Peters of Winter Garden, F. W. 
Moody of Palm Harbor, Armer C. Johnson of Mount Dora, D. A. 
Hunt of Lake Wales, E. G. Todd of Avon Park, and George B. 
Aycrigg of Winter Haven. President and chairman of the board 
was J. B. Prevatt; P. C. Peters was first vice-president; H. C. Allan, 
second vice-president; John L. Olson, third vice-president; and 
F. W. Moody, fourth vice-president. 

One of the most far-reaching changes in the Exchange system 
during the 1950-51 season occurred on April 1, 1951, with the 
retirement of C. C. Commander as general manager. Commander, 
who had held the top executive position for twenty-six consecutive 
years, by both temperament and talent had been one of the recog- 
nized leaders of the industry during its development from the 
mid-1920 > s. The board of directors of the Florida Citrus Exchange 
had realized for many months that its general manager was reach- 
ing retirement age and had appointed a special committee for the 
selection of a replacement for the retiring veteran. This committee, 

229 



FIFTY YEARS OF CITRUS 

after many weeks of detailed study, brought back a unanimous 
recommendation for the appointment of John T. Lesley to the 
position. Lesley, one of the state's leading cooperative manage- 
ment experts, accepted the appointment and took up the duties of 
general manager on April 1, 1951. Lesley came to the Exchange 
from the Haines City Citrus Growers Association, where he had 
served as manager for the previous eight years. Relatively young 
in years, he had served on various citrus committees of national 
scope, and he represented to the board an ideal combination of 
youth and experience. 

Meanwhile, Commander had agreed to continue serving the 
Exchange wherever possible in an advisory capacity. Thus, the 
"Little General," as Commander was known throughout the in- 
dustry, completed his tenure of active service to the Exchange and 
to the industry. Forcefully dominant, extremely shrewd, and un- 
deniably dedicated, Commander had served the Exchange during 
both its most difficult and its most successful years. It is doubtful 
that any other single individual within the industry during these 
times could have left a more indelible mark than did Charley Com- 
mander. 

At the close of the 1950-51 season, staff executives of the Ex- 
change were, in addition to Lesley, Fred S. Johnston, sales manager; 
James Samson, comptroller; E. D. Dow, traffic manager; Counts 
Johnson, general counsel; and Carlisle Kyle, advertising manager. 

The season itself was a year of war jitters as the conflict in 
Korea developed. The Florida citrus industry enjoyed what the 
Exchange described as a moderately profitable season. Statistics 
of the season reveal that the expected record-breaking production 
did materialize into a crop of ninety-six million boxes which was 
marketed in a relatively orderly manner. 

A review of the season seems to indicate that most of the peaks 
and valleys in the price structure of previous years were replaced 
by a stable market that neither dipped into red ink nor soared to 
impractical heights. Again, considerable credit for this stability 
must certainly have gone to Florida Citrus Mutual. The Florida 
Citrus Commission, with an enlarged advertising fund as a result 
of a larger crop, bought more advertising space and time which, 
in turn, continued to bring additional increases in the consumption 
of citrus fruits. Lowest average prices for the season occurred 
during November, 1950, when fresh fruit returned $3.41 per box 

230 



1950-1952 

for oranges, while grapefruit at the same time was bringing $4.15. 
Canners prices during a part of the season skidded as low as $0.40 
per box for grapefruit and $1.27 for oranges delivered in. In both 
instances, Mutual's price minimums served to stem the low price 
trends. 

Texas, during the season, had suffered a severe freeze in Jan- 
uary. Experts compared the damage to Florida's "Big Freeze" of 
1894, and the Exchange's Ford W. Moody, visiting in the Texas 
area at the time, wired: 

Freeze damage terrible — entire valley. Every grove damaged, 
many killed outright. Ninety-five per cent bearing trees killed to 
banks. Approximately twenty per cent were not banked — these 
all dead. Authorities here estimate total loss four million trees all 
ages. Practical fruitmen say it will be a miracle if production is 
a million boxes this season. With normal temperatures it will be 
three years before some commercial production — five to seven 
years before normal commercial production. 

The Exchange closed out its 1950-51 season for most practical 
purposes with its annual meeting on June 7, 1951. Two changes 
on the board of directors occurred, with C. G. Wilhoit replacing 
H. C. Allan — after his death in January, 1951 — as the representative 
of the North Indian River Sub-Exchange, and J. P. Ellis replacing 
D. A. Hunt as the representative of the Polk County Sub-Exchange. 
Staff positions remained the same except for the addition of Marion 
J. Young as the manager of the frozen concentrate division and the 
appointment of Walter J. Page as public relations director. 

The 1951-52 season produced the largest and one of the highest 
quality citrus crops in the history of the industry. This crop was 
marketed at ridiculously low prices in the opinion of the Florida 
Citrus Exchange. Total volume for the season reached nearly 
111,000,000 boxes with nearly 2,000,000 boxes of the rapidly in- 
creasing Temple variety of orange included in that total. By mid- 
October, Florida Citrus Mutual, which had received considerable 
credit the previous season for maintaining a satisfactory price struc- 
ture, had signed 210 of the state's 228 fresh-fruit shippers to Mutual 
contracts. There was a rather heavy carry-over of processed citrus, 
especially canned grapefruit juice, but an intensive summer cam- 
paign by the Commission and others had increased consumption. 
Consumers were drinking frozen orange concentrate at a record- 

2S1 



FIFTY YEARS OF CITRUS 

breaking pace that reached 727,000 gallons during the week of 
September 29, 1951. Before the beginning of November, Mutual 
had established $1.03 per box delivered as the minimum price for 
the lowest grade of oranges which could be accepted by processors. 
At the same time it established $2.15 per box as the minimum 
price for the lowest grade and least-desirable size at which fresh-fruit 
shippers could sell oranges at the fo.b. level. In early December the 
f.o.b. market for oranges was firm at $2.50 to $2.15, depending on 
sizes. Grapefruit were selling from $2.50 upward for Duncans, 
$2.50 upward on Marsh, from $4.50 upward on Pinks, and tanger- 
ines were bringing from $2.00 upward. Heavy shipments in Decem- 
ber were brought to a halt by the longest shipping holiday ever 
attempted by the industry, eleven days beginning December 21. 

Processors were taking oranges at the rate of 1,250,000 boxes 
per week by mid-January, 1952, and retail sales of frozen concen- 
trate continued at a high level. During the first week in March, 
Florida passed the halfway mark in harvesting its largest-to-date 
volume production. The Valencia movement was increasing rapidly, 
and heavy shipments resulted in a weakening of the markets. Then 
Mutual established the first in a series of prorates to send prices 
upward slightly. The three major outlets for Florida oranges — 
fresh, canned, and frozen — were using fruit at such a fast pace 
during March that, despite an estimated increase in the size of the 
crop, there were fewer than three million boxes more of fruit remain- 
ing to harvest at the close of March than were remaining at the 
same time in the previous season, in spite of the great production 
of the 1951-52 season. 

A price war developed during May between producers of frozen 
concentrate which brought prices on the finished product down 
to a point that aroused alarm and some criticism from Florida 
growers. However, by the close of May there were indications of 
a trend upward in both processed and fresh fruit and the season 
concluded without serious dips in the general price structure estab- 
lished over the entire period. 

It is interesting to note that the Exchange had been campaign- 
ing to increase its f.o.b. business while maintaining its auction out- 
lets at the highest possible point for several seasons past. The trend 
toward f.o.b. purchases that began with the nation's swing to the 
supermarket type grocery had continued to develop to such pro- 
portions that it had become of vital importance to all fresh-fruit 

232 



1950-1952 

marketing agencies in the state. For the season, Exchange Sales 
Manager Fred S. Johnston reported an increase in the cooperative's 
f.o.b. sales totaling 39 per cent. 

It might be well to consider at the close of this chapter some 
facts with regard to the history of the industry to this point. While 
the days of returns at less-than-production cost for growers were 
still remembered, and although growers of grapefruit were still 
facing extensive difficulty, the economic climate of the Florida 
citrus industry had been slowly stabilizing, at least somewhat above 
the critical stages, for entire seasons at a time. 

Apparent to most of the industry was the fact that production 
would continue to increase at an annual rate of about 10 per cent 
per year under normal weather conditions for some time. While 
the increase in consumption had been almost phenomenal, the 
increase in production could be expected to overshadow increased 
utilization at some date in the distant future unless industry could 
step up the rate of increased consumption. More by-products of 
citrus were needed, and interest in the development of these by- 
products was lagging. Hard-hitting advertising in sufficient quan- 
tity would certainly be necessary to keep demand in relation to 
increasing supply, quality would need to be improved, and further 
Florida product identity was needed. 

The Florida Citrus Exchange, gathered up in the concentrate 
movement, had completed negotiations with the Snow Crop firm 
during the season for the processing of Exchange fruit. In addition, 
the newly activated concentrate division was already engaged in 
the sale of seald sweet frozen concentrate across the nation. Years 
of promotion of the seald sweet brand in fresh and canned form 
was paying off handsomely in the organization of the frozen con- 
centrate division of the Exchange's sales department. 

At the conclusion of the 1951-52 season, General Manager Les- 
ley made the following report to the board: 

We are near the close of what appears to be the largest year 
in Exchange history. Our volume is roughly one million boxes 
greater than the volume of last season. 

We were determined to increase our share of the fresh-fruit 
market and, in order to do this, we re-established our own inspec- 
tion service so that we could assure our customers of a more 
uniform grade and pack. 



233 



FIFTY YEARS OF CITRUS 

We created a dealer service department, inaugurated a monthly 
trade bulletin, added to our sales department, and secured excellent 
cooperation from the individual associations in filling very com- 
plicated orders. It is difficult to single out just what one thing did 
the most for us, but we do know that collectively these innovations 
resulted in substantial increases in our f.o.b. sales this season. 

We have established a market for seald sweet frozen concen- 
trate and will be capable of selling all frozen concentrate available 
to us. 

Even though the Exchange's membership has less need for a 
home for their cannery fruit than possibly any other single group 
in the state, the Exchange thoroughly investigated the possibility 
of purchase of the Clinton Food facilities, and when this was deemed 
advisable we entered into an arrangement with Clinton to assure 
the opening of their Florida plants, as it was felt by all that if 
these plants were not opened there would be three or four million 
boxes of fruit in the state without a home, a situation that could 
have adverse effect on the market. 

Although we feel the Exchange has had a very successful year, 
we are not satisfied. We firmly believe that this industry must 
have greater cooperation in marketing and distribution if we are 
ever to level out the sharp and sometimes unnecessary decline in 
price. 

With regard to the near purchase of the Clinton Food facilities 
by the Exchange, it is interesting to note that the purchase had 
at one time drawn the full approval of the board, but floundered 
on one phase of the technical details involving the assumption of 
control by the Exchange. Even after the collapse of negotiations 
about concentrate facilities, the Exchange was successful in making 
possible the continued operation of the Clinton facilities during 
the season. 

In February, 1952, the Exchange had been named the success- 
ful bidder on 761,695 gallons of hot-pack concentrate for the Na- 
tional School Lunch Program. This marked the first attempt by 
the Exchange to obtain a government contract for concentrate. In 
cooperation with Clinton Foods, Inc., the cooperative revitalized a 
sagging market in the process of fulfilling this contract. Exchange 
growers received a total of $691,102 for 585,680 boxes of fruit 
packed under government order. 

The board of directors conducted its annual meeting on June 
5, 1952. There were three changes in the board for the 1952-53 

234 



1950-1952 

season. Alfred A. McKethan of Brooksville was seated as the rep- 
resentative of the North Pinellas Sub-Exchange; J. P. Garber was 
named as a director representing the Lake Byrd Sub-Exchange, 
replacing Charles G. Metcalf; and O. J. Harvey was now seated 
as a representative of the Elfers Sub-Exchange. Subsequently, 
following the death of W. M. Moseley of Fort Pierce on March 
6, 1952, H. H. Willis, Sr., of Fort Pierce was seated on the board. 

Appointed to staff executive positions for the 1952-53 season 
were John T. Lesley, general manager; Fred S. Johnston, sales 
manager; James Samson, treasurer-comptroller; H. S. Weber, traffic 
manager; Counts Johnson, general counsel; and Walter Page, di- 
rector of advertising and public relations. Frank J. Poitras con- 
tinued as sales manager of the canning division, and Charles W. 
Metcalf as sales manager of the frozen concentrate division. 

President and chairman of the board was J. B. Prevatt, first 
vice-president was Phil C. Peters, second vice-president was C. G. 
Wilhoit, third vice-president was John L. Olson, and fourth vice- 
president was Ford W. Moody. 



285 



CHAPTER 85 



1952nl954 



THIS HISTORY has heretofore endeavored 
to extract the most significant developments of each season within 
the Florida Citrus Exchange and within the industry wherever 
feasible. This has been possible to some extent in the light of the 
effect of these developments on the now known progressive history 
of the industry. With the close of the 1951-52 season we now 
approach current times — times that deal with individuals currently 
prominent in the Florida citrus scene. Unlike the details of earlier, 
more clearly defined periods since 1909, the history of the past 
eight years is still in the making. 

To attempt to extract the most significant developments of these 
more recent years within the industry would be difficult indeed, 
for the developments of these years have not yet approached their 
historical conclusion. Accordingly, this history will from this point 
on concentrate almost exclusively on developments within the Ex- 
change organization, leaving the current progress of the industry 
to the exacting columns of statistics that will perhaps form the 
foundation for other histories of future years. 

During the 1952-53 season, in view of all factors affecting sup- 
ply and demand, the Exchange considered the industry's market- 
ing of its 102,000,000-box crop as fairly satisfactory. However, 
there were some matters of concern for the future. General Man- 
ager John T. Lesley had this to say in a report to the board at the 
end of the season: 

2S6 



1952-1954 

From 1943-44 to 1951-52, Florida's orange crop increased from 
46,200,000 boxes to 78,600,000, an average of slightly more than 
4,000,000 boxes per year. The problem then is to keep step with 
this tremendous increase. Florida's relative prosperity will be 
judged by how well the job is done. 

To offset even greater production to come, Florida growers, 
shippers, and processors must fight to retain every box now being 
sold as fresh fruit and single-strength canned juice. National con- 
sumption of frozen concentrated citrus juices on a wider scale 
must be developed further. 

Money earmarked for research is always money well spent. 
Industry appropriations for research into new fields designed pri- 
marily to bring the best possible tasting juice to the greatest mass 
of consumers at the lowest possible cost consistent with reasonable 
returns to growers is a "must" if Florida's citrus empire is to 
survive and prosper. 

Meanwhile, the Exchange had continued its drive for increased 
fresh f.o.b. sales and, at the close of the 1952-53 season, had in- 
creased this category of business by nearly 80 per cent during 
the period from 1951 to 1953. Exchange officials were, however, 
concerned about the seriousness of "spreading decline," and had 
joined the industry in appealing to Washington for additional funds 
to halt this tree disease which was becoming of significant im- 
portance to growers in some sections of the state. 

Prior to the close of the 1952-53 season, the organization had 
combined its canning division and its concentrate division into a 
single organization known as the Florida Citrus Products Exchange. 
A new and lucrative sales outlet had been found for single-strength 
juices and sections in the export markets of Belgium and France, 
and plans for sales to South America were being made for the 
following season. 

Production and sale of seald sweet concentrate had reached 
slightly over one million boxes of citrus during the season, includ- 
ing special packs of lime concentrate and lemonade made possible 
through the membership of the Florida Tropical Fruit Growers 
Association in the Florida Citrus Products Exchange. 

The annual meeting of the Florida Citrus Exchange was held 
on June 4, 1953. Seated at this meeting, or subsequently seated 
on the board, was John C. Updike of Lake Wales representing 
Alcoma Sub-Exchange, I. J. Pemberton of Jacksonville represent- 

237 



FIFTY YEARS OF CITRUS 

ing Clark Sub-Exchange, O. J. Harvey of Tampa representing 
Elfers Sub-Exchange, R. K. Cooper of Winter Haven representing 
Florence Sub-Exchange, H. H. Willis, Sr., of Fort Pierce rep- 
resenting Fort Pierce Sub-Exchange, Jack N. Strong of Vero Beach 
representing Indian River Sub-Exchange, J. P. Garber of Avon 
Park representing Lake Byrd Sub-Exchange, G. B. Hurlburt of 
Mount Dora representing Lake County Sub-Exchange, John L. 
Olson of Dundee representing Lake Region Sub-Exchange, J. B. 
Prevatt of Tavares representing Lake Region Packing Association, 
C. G. Wilhoit of Wabasso representing North Pinellas Sub-Ex- 
change, P. C. Peters of Winter Garden representing Orange County 
Sub-Exchange, F. W. Moody of Palm Harbor representing Pinellas 
Sub-Exchange, Armer C. Johnson of Mount Dora representing 
Plymouth Sub-Exchange, J. P. Ellis of Bartow representing Polk 
County Sub-Exchange, E. G. Todd of Avon Park representing 
Scenic Sub-Exchange, and George B. Aycrigg of Winter Haven 
representing Winter Haven Sub-Exchange. 

The 1952-53 slate of officers of the board was carried over to 
the 1953-54 season and staff positions, except for the appointment 
of H. S. Weber as traffic manager following E. D. Dow's retirement, 
were also unchanged. 

The 1953-54 season saw the Florida Citrus Exchange launching 
the largest advertising-merchandising program on fresh fruit that 
it had undertaken in many years. Under a plan devised by the 
general manager, strong merchandising efforts were supported by 
a concentrated advertising campaign designed to reach millions 
of housewives across the nation. Both trade and consumer ad- 
vertising were carried throughout the season. The program was 
financed through an assessment levied for advertising purposes. 
An arrangement during the season with the Florida Lychee Grow- 
ers Association resulted in the membership of that organization 
in the Exchange for the marketing of the relatively unknown lychee 
crop during the summer break following the close of the 1953-54 
citrus season. 

A special committee, headed by G. B. Hurlburt of Mount Dora, 
was appointed during the season to consider the possibility of the 
redesignation of the Exchange's sales department under a new 
name that would incorporate seald sweet as a brand-corporate 
identity. After extensive study and several meetings concerning 
this move, the board accepted the name "Seald Sweet Sales, Inc.," 

238 



1952-1954 

as the designation for its sales department. Final approval of the 
name was voted following the close of the 1953-54 season for 
implementation at the beginning of the 1954-55 season in September. 

With regard to the season itself, Florida produced more than 
90,000,000 boxes of citrus. Processors broke all past records in 
production of frozen orange concentrate, turning out an estimated 
67,000,000 gallons. Single-strength producers exceeded their pre- 
vious year's pack by an estimated 1,000,000 gallons and packed 
1,600,000 more cases of blended juice than they had packed in 
the 1952-53 season. 

Average auction prices for Florida's fresh oranges during the 
season were up about five cents per box over the previous season, 
while grapefruit prices were nearly 31 cents below the seasonal 
average for 1952-53. The grapefruit crop, largest on record, reached 
above 42,000,000 boxes for the season and amounted to an esti- 
mated 87 per cent of the nation's total supply. Florida sent 38, 230 
cars of grapefruit to market at a seasonal average of $2.91 for 
Duncans, and $3.88 for Seedless. While prices were from 31 to 41 
cents below the prior season, the industry was generally agreed 
that the significant increase in production was largely responsible. 

The revival of the European export markets for Florida citrus 
was now reaching significant proportions with a volume of one 
million boxes of Valencias alone shipped to Europe during the 
season. Meanwhile, seald sweet concentrate was distributed widely 
in forty-two states and four Canadian provinces during the season, 
utilizing more than 1,270,000 boxes of Exchange growers' fruit. 

The Florida Citrus Exchange at the close of the 1953-54 season 
continued to predict higher production. It was not alone. The 
Continental Can Company, at the conclusion of a comprehensive 
survey, had estimated that total citrus production in Florida would 
approximate 150,000,000 boxes by the 1956-57 season, barring a 
crop disaster. Its survey concluded that this production would be 
composed of 104,000,000 boxes of oranges, and 46,000,000 boxes 
of grapefruit and tangerines. This production would be utilized 
by 26,000,000 boxes fresh, 12,000,000 boxes single-strength, 63,- 
000,000 boxes in frozen concentrate, and 2,500,000 boxes in other 
processed forms. 

Pointing to these figures, General Manager John T. Lesley in 
his annual report to the board at the close of the 1953-54 season 
included these remarks: 

239 



FIFTY YEARS OF CITRUS 

These figures indicate the increased production will have to be 
utilized by frozen concentrate, but they also point up the fact that 
it is absolutely necessary to maintain the single-strength and fresh- 
fruit markets. It is for this reason that the Exchange has put so 
much effort in developing and strengthening its sales and mer- 
chandising program. We are convinced that, properly handled, 
our fresh-fruit market will not only continue to use a large quantity 
of fruit but will also serve as a good indicator for the proper pricing 
of our fruit to processors. 

The immediate trouble spot in our citrus picture is grapefruit. 
The present USDA estimate indicates we have produced more 
than 40 million boxes. In spite of increasing our commodity adver- 
tising expenditure to a total of 6 cents per box, we have been 
unable to obtain satisfactory prices. 

With greater competition facing us from increasing Texas pro- 
duction, it is vital that we get our house in order by doing those 
things we all know we should do. 

1. We should revise our minimum standards for maturity and 
quality on both fresh and canned grapefruit to assure the consumer 
a better-tasting product. 

2. We should push vigorously for both state and federal regu- 
lations that will permit control of volume and diversion of surpluses. 

3. The industry's advertising and merchandising program should 
be strengthened by more brand advertising. 

Thus the Florida Citrus Exchange completed the season of 
1953-54, and its hopes for the future as indicated in the general 
manager's recommendations virtually duplicated the philosophy 
of the Exchange in years gone by. 

The annual meeting of the Exchange was held on June 3, 1954. 
Directors seated at this meeting and their affiliations were John 
C. Updike of Lake Wales representing Alcoma, I. J. Pemberton 
of Jacksonville representing Clark, O. J. Harvey of Tampa repre- 
senting Elfers, R. K. Cooper of Winter Haven representing Flor- 
ence Villa, H. H. Willis, Sr., of Fort Pierce representing Fort Pierce, 
Jack N. Strong of Vero Beach representing Indian River, J. P. 
Garber of Avon Park representing Lake Byrd, G. B. Hurlburt of 
Mount Dora representing Lake County, J. B. Prevatt of Tavares 
representing Lake Region Packing Association, John L. Olson of 
Dundee representing Lake Region, C. G. Wilhoit of Vero Beach 
representing North Indian River, Alfred A. McKethan of Brooks- 
ville representing North Pinellas, Phil C. Peters of Winter Garden 

240 



1952-1954 

representing Orange County, F. W. Moody of Palm Harbor rep- 
resenting Pinellas, Armer C. Johnson of Mount Dora representing 
Plymouth, J. P. Ellis of Bartow representing Polk County, E. G. 
Todd of Avon Park representing Scenic, and George B. Aycrigg 
of Winter Haven representing Winter Haven. Aycrigg was later 
replaced on the board by E. S. Horton of the Winter Haven Sub- 
Exchange. 

Officers of the Board carried over from the previous season 
were J. B. Prevatt, president and chairman of the board; P. C. 
Peters, first vice-president; John L. Olson, second vice-president; 
C. G. Wilhoit, third vice-president; F. W. Moody, fourth vice- 
president; James Samson, treasurer-comptroller; and Counts John- 
son, secretary. 

Staff executives appointed for the 1954-55 season were John T. 
Lesley, general manager; Fred S. Johnston, sales manager; Charles 
W. Metcalf, concentrate division sales manager; Frank J. Poitras, 
canning division sales manager; H. S. Weber, traffic manager; 
Counts Johnson, legal counsel; J. Samson, comptroller; and Walter 
J. Page, director of merchandising and public relations. 

The continued improvement of the export markets in Europe 
resulted in the employment of Howard N. Baron during the sum- 
mer months for the purpose of establishing an export division for 
the sale abroad of Exchange products both fresh and canned. 



241 



CHAPTER 36 



1954*1956 



THE FLORIDA citrus industry produced 
slightly more than 130,000,000 boxes of citrus during the 1954-55 
season, this production being made up of 88,400,000 boxes of 
oranges, 34,800,000 boxes of grapefruit, 5,100,000 boxes of tanger- 
ines, and 2,400,000 boxes of Temple oranges. In its annual report 
for the season, the Florida Citrus Exchange included these com- 
ments on the season: 

The start of this season followed the pattern of all previous 
seasons in that oranges started off at exceedingly high prices and 
quickly dropped to much lower levels. 

When the government crop estimate came out on October 11, 
1954, showing 96 million boxes of oranges, the market eased off 
considerably. As we moved further into the season, heavy ship- 
ments brought about lower prices, with prices at Christmas rang- 
ing between $2.25 and $2.50 per box f.o.b. 

These low prices continued through January, with competition 
very keen and movement heavy. This was brought about by the 
fact that the high government estimate and the fear of a freeze 
kept fruit moving at these low, competitive prices without regard 
to a more orderly marketing program. 

The latter part of January the f.o.b. market moved up to $2.40 
and remained steady until mid-February, when it advanced to 
$2.75 after the week-end freeze scare of February 11th and 12th. 
This, together with the reduction of two million boxes of oranges 
from the government estimate of February 10th, reduced shipments 

242 



1954-1956 

and increased prices at f.o.b. to $3.00 to $3.25 where they remained 
generally for the rest of the season. 

For grapefruit, like oranges, the season began early at high 
prices and soon slumped to mediocre or low prices. The state pro- 
duced more tangerines this year than last, but they were much 
smaller sizes, presenting an extremely difficult marketing problem. 
However, more tangerines were shipped this year at slightly better 
prices through the aid of the Florida Citrus Commission and the 
Florida Tangerine Cooperative. 

The exchange, under its new export division, had considerably in- 
creased its shipments of fresh and processed products to Europe 
over past seasons, and Florida oranges were being delivered in 
excellent condition abroad. 

The Exchange's canning division had marketed seald sweet 
single-strength juices in many United States and Canadian markets 
as well as in export markets. An important addition to the seald 
sweet line of canned products during the season was the intro- 
duction of six-ounce cans of sugar-added orange and grapefruit 
juices for the beverage trade. A combination of circumstances dur- 
ing the season had forced single-strength orange juice prices up- 
ward — a decrease in the orange crop estimate and greatly increased 
purchases of oranges by concentrators. Grapefruit juice prices, on 
the other hand, had declined, with inventories considerably greater 
than in the past season. 

Again, excellent progress was reported by the concentrate di- 
vision of the Exchange, which reported at the close of the season 
that seald sweet frozen juices had been sold in forty-four states 
and four Canadian provinces. A newly introduced frozen un- 
sweetened line of Indian River grapefruit juice in 6- and 32-ounce 
sizes was promising extremely good consumer acceptance by the 
season's close. 

The Growers Loan and Guaranty Company had completed its 
thirty-eighth year of service to the Florida Citrus Exchange on 
April 30, 1955. During these thirty-eight years the Guaranty Com- 
pany had lent nearly eighty-eight million dollars to Exchange 
members and their growers, and the close relationship between the 
financial company and Exchange associations and their members 
continued to work to the advantage of the Exchange system as a 
whole. It is interesting to note, in passing, that another Exchange 
affiliated organization, the Exchange Supply and Service Cooper- 

243 



FIFTY YEARS OF CITRUS 

ative, reported at the close of the season that its sales had more 
than doubled in the seven-year period since its reorganization in 
1938. 

The general manager of the Exchange, John T. Lesley, con- 
cluded the organization's 1954-55 season with this message to the 
board: 

Growers and shippers of fresh Florida citrus face a real chal- 
lenge during the next two years. A date with destiny could ob- 
literate many or cure all, depending upon how we meet the crisis. 

The fresh-fruit segment of the industry must be revitalized and 
strengthened if we are to maintain a marketing balance between 
fresh and processed, a balance very vital to the welfare of the 
grower. This projected exigency appeared to be hastened this 
season when the first crop estimate of October indicated an over- 
supply of oranges. However, subsequent reductions in estimates 
curtailed supplies and brought them into line with what is calcu- 
lated to be normal usage. 

Production is on the increase in almost all growing areas of 
Florida, Texas, California, and Louisiana. Texas alone, which this 
year produced 4 million boxes, is expected to market about 12.5 
million within the next two years. 

Moreover, a very disappointing trend in Florida continues to 
be amplified. Fresh-fruit shipments are being drastically reduced 
and more and more Florida fruit being diverted into cans. Fresh- 
fruit markets must be expanded in order to keep the industry 
healthy and the grower prosperous. How can this be done? 

1. Better internal quality: To hold fresh-fruit customers ship- 
pers must offer fruit of better internal quality, at least on a par 
with standards for frozen concentrated juices. Only premium 
fruit of the very highest quality should be offered to fresh-fruit 
customers. 

2. Better external quality: Eye appeal is the housewife's 
measuring stick for buying her citrus fruits. External appearance 
must be of the best in order to compete for bin or display space 
in modern markets. 

These two requisites, together with the timing and handling 
of shipments so that Florida citrus reaches the consumer at the 
peak of condition, will do much toward solving the major share 
of our troubles. Add to this, strong brand advertising, sales pro- 
motion, and merchandising support, and marketing ills should 
dissipate appreciably. 



244 



1 954-1 956 

The annual meeting of the Florida Citrus Exchange at the 
close of the 1954-55 season was held on June 9, 1953, with only 
slight changes in the board of directors resulting. C. G. Wilhoit, 
a board member who for several years represented North Indian 
River, was now seated as a representative of the Graves Brothers 
Company. The vacancy thus existing was filled with the election 
of J. C. Flake of Mims. D. A. Hunt, a member of the board repre- 
senting the Polk County Sub-Exchange for many years, was re- 
turned to the board as a representative of the Hunt Brothers 
Cooperative of Lake Wales. Both the Graves and Hunt Brothers' 
organizations were, so far as the organizations were concerned, new 
members of the Florida Citrus Exchange. 

The appointment of Traffic Manager Paul C. Sarrett to replace 
retiring H. S. Weber was the only change in the staff executive 
roster as a result of the 1954-55 annual meeting, although activities 
of the 1955-56 season were to effect several significant developments. 

While, for the most part, routine annual meeting affairs were 
conducted at the meeting of June 9, 1955, the Exchange made its 
first official move toward the establishment of prepackaging facili- 
ties in the New York terminal market area. The plan, as discussed 
at this time by the board, was to include the shipment of bulk fruit 
from Florida to the Exchange's packaging facility in New York, 
where the fruit would be prepackaged in consumer-size packages 
for retail distribution. The beginning of the 1955-56 season was 
to witness the end of the Florida Citrus Products Exchange and 
once again the return of the Florida Citrus Exchange to the ex- 
clusive marketing of fresh fruit. 

For many months the dual role of the large cooperative in both 
fresh and processed marketing activities had been under discussion 
by the board. It was, perhaps, inevitable that board members 
representing individual associations of the Exchange would even- 
tually find it impossible to agree on the conduct of the business 
with regard to processed products. 

It must be remembered that the Exchange, as a matter of policy, 
had long since agreed that each association should arrange for the 
sale of its cannery fruit in any manner most beneficial to its grow- 
ers. With this in mind, it seems logical that geographical location 
as well as other important factors should create a situation in which 
some Exchange associations were supplying fruit to Exchange- 
affiliated processing plants, while others were not. This division 

245 



FIFTY YEARS OF CITRUS 

of interest eventually culminated in the withdrawal of the Exchange 
from its activities in the marketing of all processed and canned 
products. The Florida Citrus Products Exchange thus became the 
nucleus for the Plymouth Citrus Products Cooperative, and the 
working force was transferred from the Exchange to Plymouth, 
where seald sweet products are still manufactured under an agree- 
ment spelled out at the beginning of the 1955-56 season. This move 
marked the conclusion of the second venture of the Exchange into 
the canning business, the first endeavor having been terminated at 
the peak of the depression in the mid-1930's. From this time until 
the present, the Florida Citrus Exchange has functioned solely in the 
interest of marketing the fresh-fruit production of its members. 

The 1955-56 season itself was considered by the Exchange to 
have been the most favorable since the conclusion of World War II. 
Good quality grapefruit brought reasonably good prices as the 
industry concentrated on the grapefruit returns problem. Early 
and mid-season orange prices were stabilized near the beginning 
of the season when processors purchased considerable volumes at 
$1.25 on the tree. This apparently placed a sort of minimum, and 
higher prices were placed on these varieties for the balance of 
the shipping season. On February 29, 1956, Valencia orange prices 
were ranging from $3.00 to $3.75 per box f.o.b., and were advanced 
another 25 cents by mid-April. Top prices were reached on April 
30, with another advance of 25 cents. 

With regard to the prepackaging plans of the Exchange men- 
tioned briefly earlier in this chapter, the trial-run phase of the 
program was conducted in Philadelphia during December, 1955. 
From this experimental operation, utilizing already established 
commercial prepackaging facilities, the Exchange hoped to set the 
pattern for its contemplated self-owned facility in New York. The 
Philadelphia experiment was also considered as a sort of sounding 
board through which to consider additional prepackaging oper- 
ations in other cities such as Chicago and Detroit. The initial 
phase of the prepackaging operation was considered successful by 
the board, and plans were continued to purchase a prepacking 
operation in the New York area. 

On December 8, 1955, J. B. Prevatt submitted to the board his 
resignation as president of the Florida Citrus Exchange following 
an illness that would curtail his personal activities to such an ex- 
tent as to make it impossible for him to serve in this office. After 

246 



1954-1956 

accepting this resignation, the board elected Phil C. Peters of Win- 
ter Garden to serve out the remaining term. Elected to serve as 
vice-presidents were John L. Olson, first vice-president; C. G. Wil- 
hoit, second vice-president; F. W. Moody, third vice-president; and 
G. B. Hurlburt, fourth vice-president. 

Thus, into the top position of leadership in the Exchange system 
came the highly respected Orange County grower and shipper. 
Peters, who had served intermittently on the board since 1918, 
brought with him the prestige and knowledge of years of experience 
in citrus, and a significant background in cooperative marketing. 

A wide gap between the end of the mid-season crop and the 
beginning of the Valencia shipping season brought additional sta- 
bility to the markets even though concentrate plants were not in 
operation to draw off excess supplies. During the months of March 
and April extremely dry weather prevailed and many of the citrus 
areas were threatened by the drought. This, as always, forced 
the movement of many crops sooner than anticipated, but grow- 
ers, holding the line on prices, came through the threat at no dis- 
advantage. Exports to Europe from Florida of nearly one and a 
half million boxes of fresh citrus again helped to maintain the 
price structure. The Exchange, with its fully implemented export 
division, was, of course, a large and important export utilization 
factor. There can be no doubt that this had been another year 
when shipments of fruit through fresh channels were hard pressed 
to compete with processing prices. In its annual report for the 
season, however, the Exchange expressed confidence that its mem- 
bers had received seasonal fresh-fruit averages comparing favorably 
with prices for processed fruit. 

Much of the Exchange's favorable position in the fresh-fruit 
market was undoubtedly a result of the continued merchandising 
program. While the promotional activities of the previous year had 
been curtailed somewhat as a result of the transfer of its processed 
interests, the Exchange continued to promote its seald sweet 
brands in all :«najor distribution areas. The 1955-56 season, although 
profitable for growers throughout the state, was viewed by the 
Exchange as one of the contradictions stemming from the govern- 
ment's crop estimate. Although a reduced volume of oranges had 
gone into fresh marketing channels, there was a considerable in- 
crease in the shipment of grapefruit. Florida Citrus Exchange 
shipments, reflecting the state-wide reduction, were down, but f.o.b. 

247 



FIFTY YEARS OF CITRUS 

volume, both percentagewise and in total volume, was the largest 
in history. In view of this, the Exchange was optimistic over the 
fresh-fruit marketing outlook and was already at work on experi- 
mental tests designed to assure the consumer of better citrus fruits. 

There were, however, certain problems on the horizon at the 
close of the 1955-56 season. It will be remembered that the Ex- 
change had joined the industry several seasons prior in expressing 
alarm over the serious threat of the "slow decline." When the 
burrowing nematode became definitely identified as the cause, it 
had also been determined that the only control was to push out 
the infected trees and fumigate the soil. The State Plant Board, 
along with the United States Department of Agriculture, had al- 
ready been charged with this responsibility. By the close of the 
season some 1,145 acres had been treated in this manner. 

Perhaps the most serious problem of all was one discovered 
on April 21, 1956. On a dooryard tree in the Miami area had been 
found the larvae of the dreaded Mediterranean fruit fly. By the 
end of April the fruit fly had been found as far north as Lake 
Wales, dashing all hopes that it could be contained in the non- 
commercial areas in South Florida. While the origin of the initial 
entry of the fruit fly could not be traced, of course, a resolution 
directed to the Department of Agriculture by the Exchange some 
years prior with regard to more detailed inspection of baggage 
at Florida ports of entry to the United States had gone unheeded. 
What the Exchange feared had come to pass, and the industry 
could now look to a long and expensive process of elimination of 
the fruit pest. Destruction of the fruit fly in the late 1920's had 
cost $7,500,000, and that Florida had been able to completely 
annihilate the pest had been a modern miracle. At any rate, it 
soon became obvious that the Florida citrus industry would now 
become involved in a tremendous effort to rid itself of the fly, and 
by May 15, 1956, the estimated cost of the eradication process 
had already reached $25,000,000 with an immediate outlay of $9,- 
000,000 facing the industry. 

Nevertheless, the Exchange looked to the 1956-57 season with 
much optimism. Canned inventories were low and, with the de- 
vastating Spanish freeze during the preceding winter, the possi- 
bility of substantial export shipment was good. This, plus the 
estimation of a lighter crop, made prospects favorable for the 
board as it concluded its business for this season. 

248 



CHAPTER 37 



1956^1958 



THE BOARD OF DIRECTORS of the Flor- 
ida Citrus Exchange for the 1956-57 season was seated at the annual 
meeting held on June 6, 1956. The board was composed of John C. 
Updike, Alcoma Association, Inc.; I. J. Pemberton of W. H. Clark 
Fruit Company; A. V. Saurman of Clearwater Growers Association; 
O. J. Harvey of Elfers Citrus Growers Association; R. K. Cooper of 
Florence Citrus Growers Association; H. H. Willis of Fort Pierce 
Citrus Growers Association; D. A. Hunt of Hunt Brothers Cooper- 
ative; A. N. Strong of Indian River Citrus Sub-Exchange; G. B. Hurl- 
burt of Lake County Citrus Sub-Exchange; John L. Olson of Lake 
Region Citrus Sub-Exchange; J. B. Prevatt of Lake Region Packing 
Association; John C. Flake of North Indian River Citrus Sub- 
Exchange; Alfred A. McKethan of North Pinellas Citrus Sub-Ex- 
change; Phil C. Peters of Orange County Citrus Sub-Exchange; F. 
W. Moody of Pinellas Citrus Sub-Exchange; Armer C. Johnson of 
Plymouth Citrus Growers Association; J. P. Ellis of Polk County 
Citrus Sub-Exchange; and E. S. Horton of Winter Haven Citrus 
Growers Association. 

Officers of the board for the 1956-57 season were Phil C. Peters, 
president and chairman of the board; John L. Olson, first vice- 
president; C. G. Wilhoit, second vice-president; F. W. Moody, third 
vice-president; and G. B. Hurlburt, fourth vice-president. Counts 
Johnson was elected secretary and James Samson was elected 
treasurer-comptroller. 

249 



FIFTY YEARS OF CITRUS 

Executive appointments for the 1956-57 season were John T. 
Lesley, general manager; Fred S. Johnston, general sales manager; 
Counts Johnson, general counsel; H. N. Baron, export sales man- 
ager; and Paul C. Sarrett, traffic manager. 

The consumer bag division, discussed in prior chapters, was 
thoroughly implemented as an Exchange service during the 1956-57 
season. This division was headed by Edward H. Wales, who had 
been appointed as the sales manager of this phase of the Exchange's 
sales operation. By the midway point in the season, the Exchange 
was employing commercial bagging organizations in Philadelphia, 
Boston, Pittsburgh, Baltimore, and Chicago. The Exchange's own 
bagging facility at Kearney, New Jersey, was placed in operation 
before the close of the season. 

The 1956-57 season was to see the infestation of the fruit fly 
reach its maximum proportion, but all-out cooperation by the in- 
dustry, the State Plant Board, and the United States Department 
of Agriculture served to develop packing-plant fumigation systems 
that precluded imposition of the difficult embargoes of the infesta- 
tion of the 1920's. General Manager John T. Lesley, remarking on 
the fruit-fly problem in June, 1956, had said: "The extra expense 
of treating fruit is regrettable, but the fly is something we can live 
with — we can still market good sound fruit. We are in a better posi- 
tion than we were in the 1920's because of better fumigating equip- 
ment in packinghouses and better insecticides for spraying groves." 
While the industry was undoubtedly faced with a long period of 
expense and inconvenience, the initial shock of the discovery of 
the pest soon gave way to a feeling of confidence in the ability of 
the industry to eradicate successfully the fly while profitably mar- 
keting the major portion of the crop. 

The 1956-57 season was another record breaker by volume with 
93,000,000 boxes of oranges, 37,400,000 boxes of grapefruit, 4,800,- 
000 boxes of tangerines, and slightly more than 3,000,000 boxes of 
tangelos and Temples. The season began auspiciously for both 
fresh-fruit growers and shippers. Efforts of the Growers Adminis- 
trative and Shippers Advisory committees to keep high-quality 
levels imposed on early shipments of oranges and grapefruit re- 
ceived state-wide support from the industry. This attitude was 
hailed by the Exchange and much of the industry as indicative of 
the great strides toward effective cooperation that had been made 
by the industry in just a few short years. That this was true, there 

250 



2956-1958 

can be little doubt. The most confining early-season grade and 
size regulations in the history of the industry were imposed by 
the two control committees with hardly a dissenting voice from 
the industry. Cooperative awareness of the marketing importance 
of high-quality fruit continued throughout the season, bringing to 
almost every segment of the industry a renewed dedication to the 
principles of cooperative marketing so long upheld by the Exchange 
as those necessary for continued prosperity within the industry. 

The 1956-57 season, as it progressed, saw independent growers 
and cash-buying processors again locked in a price battle. The situ- 
ation obviously followed a trend that had been building for several 
years, and one that was causing considerable concern within the 
industry. Although growers had usually managed to hold their 
own in past years, strong factors in the 1956-57 season seemed to 
align themselves on the side of the buyers. The first of these 
factors was, of course, the record-breaking production coupled to 
an extremely high juice yield of the season. The second was that, 
even though retail processed prices had been substantially reduced 
from comparable prices of the previous season, sales had increased 
by only about 1 per cent and high inventories were threatening. 
Third, heavy and well-timed rains throughout the citrus belt had 
broken a three-year drought, and all elements were present for a 
heavy crop in the 1957-58 season. 

As the trade began to show reaction to these factors, concen- 
trators began edging down the selling price of finished concentrate, 
and prices to growers started downward. While this situation 
eventually righted itself, it brought to light certain advantages of 
cooperative marketing held highly important by the Florida Citrus 
Exchange. In the opinion of the Exchange, this situation pointed 
to the uncertain and often vulnerable position of the so-called 
independent grower. It is rather obvious that the independent 
producer is in an excellent position, during the years of short sup- 
ply, to obtain the highest price for his fruit; in years of abundant 
crops, his position is worsened substantially from that of a co- 
operative producer. As General Manager John T. Lesley percep- 
tively noted in the annual report for the 1956-57 season: "The 
grower who has protected his position by having an assured home 
for his fruit, both cannery and fresh, is in good position to face 
the increased production that, barring disaster, the future will 
bring." 

251 



FIFTY YEARS OF CITRUS 

Thus, the Florida Citrus Exchange entered the 1957-58 season 
with confidence and optimism. At its annual meeting on June 6, 
1957, the board accepted the resignation of John L. Olson because 
of illness, and seated Joe E. Keefe of Dundee to fill the vacancy. 
A. V. Saurman of Clearwater Growers Association likewise resigned 
from the board, his vacancy being filled by E. S. Beeland of the 
Clearwater organization. Officers for the 1957-58 season were Phil 
C. Peters, president and chairman of the board; C. G. Wilhoit, first 
vice-president; F. W. Moody, second vice-president; G. B. Hurlburt, 
third vice-president; and Joe E. Keefe, fourth vice-president. 

It should be noted that the membership of the board and the 
officers in the Exchange have continued through to the 1959-60 
season with but one exception. J. B. Prevatt, following the with- 
drawal of the Lake Region Packing Association from the Exchange 
at the close of the 1957-58 season, resigned from the board at that 
time. The executive staff also remained unchanged during this 
time, except for the transfer of William G. Strickland, formerly 
manager of the Indian River Citrus Sub-Exchange, to the Tampa 
headquarters as assistant to the general manager. 

As has been indicated, the Exchange entered the 1957-58 season 
with considerable optimism. Events of the prior season with its 
record production, tighter controls, higher quality, and cooperative 
effort seemed to substantiate this feeling of optimism. In addition, 
a considerable amount of satisfaction stemmed from the fact that 
the fruit fly eradication program had been sufficiency successful 
that the end of the fly menace was in sight. But the 1957-58 season 
had no sooner settled down for the long pull than cold weather 
began to threaten. After a series of "scares," the "big freeze" blew 
frigidly into the Sunshine State during December to bring the most 
critical freezing conditions experienced by Florida in sixty years. 
The December freeze was followed by another in January. Stunned, 
the Florida citrus industry stood almost helpless as Nature wrecked 
an estimated 40 per cent of its expected crop of 142,000,000 boxes. 
Many young groves were completely killed and hundreds of acres 
of mature groves were so severely injured that fruit on them was 
completely lost for the season. 

In the opinion of many, the industry was held together during 
these trying times by the immediate action of the Florida Citrus 
Commission. The Commission moved promptly to prevent panic 
utilization of freeze-damaged fruit in finished processed products, 

252 



1956-1958 

embargoed movement of fresh fruit out of the state for a short 
time, and voiced its determination to maintain high-quality stand- 
ards in spite of the severe adversities facing the industry. These 
actions gained the immediate confidence of the trade and, in this 
respect, the industry was to learn gradually that it had at long 
last weathered a severe freeze without the historic market slumps 
caused by the shipment of low-quality, freeze-damaged fruit. Con- 
vinced that Florida was policing its quality rigidly, the major por- 
tion of the trade responded with reasonable confidence, and the 
structure of the markets in all channels was held intact. 

It is interesting to note that the industry eventually received 
higher gross returns from its drastically curtailed production than 
it probably would have received had the entire crop been marketed. 
Prices skyrocketed while the industry discovered almost in amaze- 
ment that the nation's consumers would pay more for their citrus 
than had ever before been realized. It is probable that this reaction 
of consumers was the first conclusive proof of the value of the 
commodity advertising program of the industry. Citrus had ob- 
viously been accepted as a necessary part of the nation's diet, and 
consumers were paying the world's highest peacetime price for 
their citrus products. The Florida Citrus Exchange managed to 
serve its members well during this hectic season. While the state 
average for the fresh-fruit shipments continued to slide downward 
during the season, shipments of Exchange fruit had shown a sub- 
stantial increase. President Phil C. Peters had this to say at the close 
of the season: 

This has been indeed a critical year for our entire citrus in- 
dustry. It is gratifying to know, however, that all of our members 
of the Florida Citrus Exchange have for the most part fared better 
than the average during the freeze. The fast-moving and efficient 
marketing and sales organization coupled with our lines of com- 
munications have provided our members with every advantage 
pricewise in a fast-changing and rapidly moving market. It is 
logical to assume that out of the past winter will come research 
in many fields to provide greater cold tolerance plus better quality 
and production. 

As the season of the "big freeze" came to a close, the citrus 
industry was forced to the conclusion that those who had not been 
totally dispossessed by the weather had completed an unusually 

253 



FIFTY YEARS OF CITRUS 

good marketing season. This almost unbelievable situation was to 
usher in the greatest period of confidence ever known by the Flor- 
ida citrus industry. Though the most feared of all adversities, pro- 
longed freezes, had been undergone by the Florida citrus grower, 
the season had closed out in such excellent condition that even the 
veterans in the industry were hard put to believe the return figures. 

Actually, production for the season was at its lowest point since 
the 1952-53 season and the certainty of a short crop in 1957-58 
further maintained high price levels. Perhaps the only casualties 
among the growers who sold their fruit immediately following the 
freezes were the independent growers who sold to cash buyers 
for concentrate at panic prices. Concentrators, taking a historic 
gamble that will not soon be forgotten, doubled work forces and 
maintained peak operations throughout the freeze period. Under 
Florida Citrus Commission regulations, concentrators using freeze- 
damaged fruit were required to hold concentrate for a specific 
period of time, then subject it to strict quality tests before placing 
it in consumer containers for shipment. As the concentrate in- 
dustry went into twenty-four-hour-a-day operations following the 
freezes, no one could know for certain that his entire pack would 
not be outlawed for consumer shipment. 

That the long gamble paid off is now legend within the indus- 
try, but the panic sales by independent growers to cash-buying 
concentrators immediately following the freezes cost these growers 
millions of dollars, and added substantially to the high profits re- 
ceived by the concentrators as a reward for this gamble. It is 
a matter of record that grower-members of cooperative concentrate 
firms received many millions of dollars over prices received by 
independent growers who were forced to dispose of their fruit on 
a day-to-day basis during the disastrous days of the freeze period. 

With renewed confidence in its own capability to meet disaster, 
the Florida citrus industry entered into what many believe to be 
the greatest era of cooperation. Certainly greater cooperative 
efforts of the industry during the fruit-fly infestation and the freezes, 
as well as the result of this cooperation in the matter of price levels, 
substantiated the theory that most of the industry's problems could 
be greatly reduced by cooperation at every level in Florida citrus. 
Speaking on this newly found spirit of cooperation, General Man- 
ager Homer Hooks of the Florida Citrus Commission commented: 



254 



1956-1958 

There is a spirit of cooperation and of working for the common 
good of the industry prevailing in Florida that veterans in the 
industry have not seen for many years. 

This is not accidental atmosphere. It is the outgrowth of a 
new maturity in our industry, a realization that the welfare of the 
growers, shippers, canners, concentrators, and all those who service 
them are inevitably intertwined. 

Whether the industry has, in reality, reached a new maturity 
is a question that remains veiled in the uncertainty of the future. 
But those who have watched its development over the years be- 
lieve that a new spirit has been found that will provide a strong 
foundation for progress. 

Now this history approaches the final chapter. To be sure, there 
remains a great abundance of problems yet to be faced. The shift- 
ing economy of the nation, as well as that of the world, places 
much of the future on an elastic platform that cannot be made firm. 
The industry's marriage to the whims of Nature also serves to 
place its seasonal future forever beyond human direction. But, 
working in harmony, the industry may now contemplate a future 
that can be devoid of the extreme ups and downs of years gone by. 
Long-range plans may be laid with more assurance, and research 
into the several sciences of citrus already promises new and vitally 
important utilization development. Beyond this, the Florida Citrus 
Exchange takes confidence in the trend of the industry to resist 
all efforts to lift final control of its destiny from the capable hands 
of thousands of growers who form the solid foundation on which 
this empire is constructed. 



255 



CHAPTER 38 



1958^1959 



AS HAD BEEN predicted, the 1958-59 sea- 
son was one of short supply and high prices. Total production of 
oranges reached eighty-six million boxes, and production of grape- 
fruit amounted to thirty-five million boxes. On the whole, there 
had never been a more profitable year for growers, but the em- 
phasis was on concentrate. Lesser volumes of fruit and the resultant 
high prices critically curtailed movement in fresh-fruit channels 
as processors battled for oranges to fill depleted inventories. It is a 
matter of record that prices demanded for oranges eventually 
reached such proportions that fresh-fruit distributors were forced 
into an unprecedented situation. For the first time in the history 
of Florida citrus, the sale of fresh grapefruit at the Florida Citrus 
Exchange exceeded the sale of fresh oranges. This single factor — 
the emphasis on varieties other than oranges — was responsible for 
a relatively successful 1958-59 marketing season at the Exchange. 
Total volume was about equal to the year preceding. 

Holding its annual meeting on June 4th, 1959, the board of 
directors heard General Manager John T. Lesley outline the trends 
of the 1958-59 season: 

With regard to the specific activities of our Sales Department, 
this report cannot hope to overcome the obvious. It has not been 
one of our better seasons because of the many developments with 
which you are all familiar. California produced one of the largest 
and finest crops of oranges ever produced in that state, to compete 

256 



1958-2959 

with Florida citrus which was in short supply at less than its high- 
est quality and holding capacity. 

With speculative concentrators , prices at an all-time high, it 
was necessary for us constantly to raise our prices from the very 
beginning of the Valencia season. As our price picture elevated, 
many markets turned to the lower-priced California oranges. Flor- 
ida, because of this turn of events, shipped a lower percentage of 
Valencias in fresh fruit than ever before in history. 

While the matter was only briefly mentioned during the annual 
meeting of the Exchange, the impending retirement of General 
Sales Manager Fred S. Johnston could be expected to result in the 
selection of a new general sales manager early in the 1959-60 season. 
Eventually named to replace Johnston was Assistant Sales Manager 
Donald M. Lins, who would assume the duties of top sales execu- 
tive on January 6, 1960. A graduate of Cornell University with con- 
siderable background in agriculture, Lins would move easily into 
the complexity of the coming season. 

Rather typical of the complexities of the citrus industry is the 
fact that while fresh-fruit interests struggled for supplies during 
the 1958-59 season, the industry as a whole was enjoying its high- 
est crop valuation in history. Total packinghouse door-level valu- 
ation of the season's production was eventually placed at nearly 
$348,000,000, as compared to the 1957-58 season valuation of 
$273,000,000, itself a record-breaker. Both years had been difficult 
for fresh-fruit interests. By the close of the 1958-59 season, citrus 
leaders throughout the state were showing considerable concern 
over the decline in movement of fresh citrus. To those involved 
in the fresh-fruit channels of trade, the problem seemed to be 
clearly etched in terms of supply and demand. 

Processors with the capability of blending and holding could 
control their distribution of products manufactured from highly 
priced, poorly conditioned fruit. With expected low supplies creat- 
ing high processor demand, prices moved even the most dedicated 
fresh-fruit shippers into the concentrate plants. Through all this 
one apparently undeniable trend was being established: Fresh- 
fruit shippers had become a sort of buffing element within the 
industry. In times of short supply, fresh-fruit interests are all but 
forgotten in the general movement stampede toward the canning 
plants where storing potential and distribution control can return 
higher-than-average profits to growers. Speculative summer sales 

257 



FIFTY YEARS OF CITRUS 

by processors willing to gamble — sometimes disastrously to them- 
selves and the grower — further complicated the matter. Conversely, 
in times of high production, processors return pricing structure to 
levels that provide growers with the opportunity to place good 
quality, premium fruit into fresh-fruit channels at favorable profits. 
Historically, in normal years, fresh fruit has always returned more 
to the grower than he has received from the canner. It is because 
of this circumstance that the industry, at the close of the 1958-59 
season, looked with considerable misgiving at the difficulties that 
the fresh-fruit industry had encountered during the two preceding 
years. As troubles mounted for fresh-fruit shippers, their market- 
ing avenues were beginning to dissolve for lack of merchandise. 

Thus, the board of directors of the Florida Citrus Exchange 
concluded the 1958-59 season with some concern for the future. 
The board, unchanged in membership from the preceding season, 
called for a situational evaluation from its top executive, General 
Manager John T. Lesley. His evaluation of the future of the fresh- 
fruit industry in Florida on June 4, 1959, is quoted in full: 

I should like to preface these remarks with a note of optimism 
for both the Florida Citrus Exchange and the fresh-fruit industry 
in general. The 1959-60 season will, in my opinion, see a consider- 
able increase in movement of fruit in the fresh channels of trade. 

With a return to near-normal production of all varieties, and 
in view of the processor inventories that have accumulated, it ap- 
pears likely that fresh-fruit shippers will be called upon throughout 
the 1959-60 season to dispose of a larger quantity of fruit than 
during the past few years. 

In addition to this supply and demand factor, it is my observa- 
tion that the industry itself is becoming genuinely concerned about 
the declining proportion of the total production now being utilized 
in fresh-fruit channels. 

The logical conclusion that can be drawn from these factors 
is that fresh-fruit shippers will, in all probability, experience an 
active season throughout the 1959-60 period. It is possible that 
the coming season can be the best fresh-fruit shipping season in 
the past several years, from a volume standpoint. 

I believe, too, that returns to growers will continue to reflect 
favorable profits, although it is difficult to predict any sort of price 
range until we have some idea as to the rate of depletion of proces- 
sor inventories. It appears certain, however, that the bulging ware- 
house inventories of concentrate at this time will pose a difficult 

258 



1958-1959 

price problem at least during the first part of the new season, 
particularly in view of the fact that these inventories have been 
accumulated from extremely high-priced raw products. 

While the foregoing remarks depict a rather favorable outlook 
for the 1959-60 season, I must at the same time direct your atten- 
tion to the general future outlook for all fresh-fruit interests in the 
state. As I have said, I believe the coming season will be a good 
one for fresh fruit. Beyond next season, the difficulties loom for- 
midable and imposing. 

I would like to discuss some of these difficulties with you, and 
I believe it of paramount importance that we begin this discussion 
with an analysis of our most important single focal point — the 
market place. 

There have been drastic changes in our markets. Consider, if 
you will, the rise of the supermarket within a few short years, and 
the increased concentration of buying power that this has caused. 

As our retail outlets have shifted from the corner grocery store 
to the modern supermarket, our methods of supplying these out- 
lets have become outdated in the transition. This change has been 
rapid, and almost frightening to suppliers at times. Last year for 
example, 68 per cent of all stores were relatively small outlets 
which did less than 8 per cent of the total grocery business. In 
other words, 203,000 small grocery stores processed only 8 per cent 
of the total business, while 28,000 supermarkets sold 67 per cent 
of all grocery items moved through regular food outlets. 

Another indication of the speed of this transition from small 
to large stores is the fact that as recently as 1952 supermarkets 
were doing only 43 per cent of the grocery business as compared 
to today's approximately 70 per cent. 

Accompanying this increase in the size of the stores doing the 
major part of the grocery business has been an increase in the 
number, size, and buying power of grocery chains. And, although 
we have always had a few large grocery chains, the increase in 
the number of large chains has certain significance. 

But perhaps of greater significance is the emergence of small 
independent chains consisting of eleven stores or fewer. These 
relatively small chains of supermarkets still do most of the grocery 
business — slightly over 60 per cent. 

And, in this area, we face the latest in the long list of changes 
that have presented problems to the fresh-fruit industry. Some- 
thing new has been added in recent years. A large majority of the 
so-called independent chains are now organized into voluntary 
chains through which to take advantage of volume buying. 

259 



FIFTY YEARS OF CITRUS 

Thus, within a few short years, virtually our entire market 
structure has changed. Terminal markets have declined almost 
as rapidly as supermarkets have taken over. Direct purchasing 
by a few large buyers has become the most important factor in 
the sale of fresh Florida citrus. Wholesalers and brokers are dis- 
appearing from the scene at an alarming rate, and each short- 
supply season accelerates this rate of disappearance. 

As we have moved into this era of concentrated buying power, 
the face and make-up of our buyer have changed drastically. To- 
day's high-volume, fast-moving fruit buyer is, first of all, a business- 
man. He thinks and acts like a businessman, and he is well paid 
to show profit on every item in his province. 

He demands a continuous supply of high-quality merchandise 
in the package, size, and price range that is attractive to the con- 
sumer. He wants uniformity, and he seeks always to minimize 
both the amount and the expense of the effort that must be ex- 
pended between shipper and consumer. 

In addition to these factors, the very nature of self-service 
supermarkets requires help from the supplier in the matter of ad- 
vertising and merchandising at the consumer level. And, in today's 
modern grocery store, few items are moved that have not been 
pre-sold by brand or commodity promotion to the extent that the 
consumer is familiar with them before she buys. 

This, then, is a picture of our markets in general as we prepare 
to do business with them today. 

Now let us consider the development of our fresh-fruit indus- 
try to cope with the changing market. 

Our production has increased. Our trees now produce more 
fruit of commercial quality than was thought possible a few short 
years ago. We have, in many instances, overlooked quality in an 
effort to cash in on high-yield production, yet our quality in gen- 
eral has increased gradually and continually. We have sufficient 
production to meet demand, except during natural disasters that 
occur infrequently. We are unhampered by government crop 
controls, and we have invented manufacturing processes that ade- 
quately handle that part of our production which cannot be moved 
into fresh channels. We have even developed by-products that are 
made from the refuse and pulp of the canning plants, and this in 
itself has grown into big business. 

It would seem, therefore, that with adequate production and 
high-volume demand, we have established a perfect climate in 
which to do business. This is true, with one highly important and 
disturbing exception. We have made little or no progress in the 

260 



1958-1959 

intermediate phase of our business which places the supplies of 
the producer into the hands of the retailer. In plain language, our 
fresh-fruit sales agencies are little changed in this period of great 
change, and somehow we seem to resist the idea that progress 
should and must be made in our methods of selling. 

It is true that we have converted a portion of our sales effort 
to the so-called f.o.b. market. But we have done even this in a 
somewhat reluctant manner. 

What else have we done? Nothing, to speak of — and most of 
our fresh-fruit problems today stem from this simple fact. While 
our markets have changed and grown, and our production has 
increased, we continue to sell our product in much the same way 
it was sold fifty years ago. 

We are meeting the concentration of buying power with the 
same disorganized, nervous, and spasmodic sales methods that 
have caused us trouble ever since the industry faced the problem 
of marketing a total of six million boxes back in 1909. But, until 
the great changes in the markets of recent years, along with the 
development of the concentrate industry, organization could be 
disregarded without the serious repercussions of today. In the past, 
when three hundred separate sales agencies could play the whole 
field of terminals, brokers, wholesalers, and peddlers in wild aban- 
donment of sound marketing procedures, the sources of utilization 
were numerous at any rate. 

Today, nearly two hundred separate sales agencies are still 
attempting to squeeze the same methods of distribution into a 
rapidly narrowing funnel of distribution outlets. The results of 
this tragic circumstance are apparent in the statistics of the fresh- 
fruit industry. 

Volume buyers are forced to go from agency to agency in search 
of adequate supplies, and there is seldom assurance that today's 
supplier can be depended upon to fill next week's order. Prices are 
erratic as small shippers vie for a part of the volume trade, and 
buyers must simply hope that the prices they have paid will be 
approximately the same as those paid by their competitors. Quality, 
too, must suffer as a consequence of this system of marketing. 

Thus, the buyer of fresh Florida citrus is given, at best, few 
of the factors he considers so important in the conduct of his high- 
volume business. His supply is seldom dependable, his quality is 
an up-and-down thing, and his price is a gamble pure and simple. 

He has virtually no brand promotion assistance, and is encour- 
aged only by the fact that the Florida citrus industry has a state- 
administered commodity advertising and merchandising program 

261 



FIFTY YEARS OF CITRUS 

that is supported by industry mostly because it derives its money 
from taxes on the entire citrus enterprise. 

I think that you will agree that this is a disturbing portrayal 
of our selling methods. It is, in my opinion, also the answer to 
our declining fresh-fruit market. 

While the solution to this problem is apparent enough, the 
method by which to accomplish the solution is evasive. Somehow 
we must manage to reduce drastically the number of fresh-fruit 
sales agencies in operation today. We must do this without decreas- 
ing the tonnage available for fresh-fruit utilization, and we must 
do it without disturbing the control of the industry, which remains 
where it should be, in the hands of the Florida grower. 

We must concentrate our selling power in a parallel with the 
concentration of buying power. In doing so, we place vastly in- 
creased supply potential in the hands of the remaining sales agen- 
cies. The cost of selling along with the cost of packaging can be 
decreased as greater volume moves through fewer selling points. 

Advertising and merchandising of select industry-wide brands 
distributed nationally can be accomplished at a surprisingly low 
cost per unit to supplement the commodity program already in 
existence, and uniformity of package and product can be more 
nearly attained than ever before in the history of the industry. 

The Florida citrus industry stands now at the crossroads of 
destiny, in my opinion. If we are to regain the ground lost in the 
decline of the fresh-fruit business, we must set about to reshape 
our business to the pattern of our changing markets. 

If, on the other hand, we ignore the decline of the fresh-fruit 
industry in the brilliant light of the processor's progress, we must 
be prepared for the consequence of a single outlet business hinged 
exclusively on the dictates of the canner. 

I believe, however, that most of us in the industry today know 
full well the importance of maintaining our fresh-fruit channel of 
utilization. I am optimistic in the belief that the Florida citrus 
industry has, indeed, entered a new era of cooperation that will 
set the stage for faster and better development in all areas of our 
endeavor. 

This cooperation, when applied to such fields as nutritional 
research, marketing, packaging, new product research, and business 
administration, seems likely to open new and expanded vistas all 
across the broad future of the industry. 

The fresh-fruit industry is in difficulty to be sure. But the Flor- 
ida citrus industry has only to survey the far greater difficulties 
of other agriculture producers, in industries that have allowed 

262 



1958-1959 

their fresh-product utilization to wither away, to find the will and 
determination to retune our business to the times. 

As for the Florida Citrus Exchange, fifty years in Florida citrus 
have given to us a position of prominence and leadership. I am con- 
fident of our united desire to direct this leadership toward the 
development of new ideas and new approaches to the wonderful 
challenge of keeping in step with this industry of ours — which, 
through its peculiar blessings, has progressed more often than not. 



263 



ndex 



i 



Acosta, Tracy, 167 

Adams, C. M., 10 

Adams, F. H., 6, 8 

Advertising, 9, 16, 20, 21, 26, 31, 32, 
34-35, 37, 38, 40, 41-42, 44, 46, 53- 
78 passim, 86, 90, 91-92, 98, 101, 
106, 107, 112, 121-152 passim, 153- 
4, 160, 170, 173, 179, 186, 190, 
198-262 passim; expenditures, 23-24, 
46, 61, 77-78, 97; agency, 39; de- 
partment, 39, 53; cooperative, 54-55; 
brands, 68, 115; trademark, 70; as- 
sessment, 71; manager, 76; director, 
81; Acts, 145, 146 

Agricultural Adjustment Act, 171; Ad- 
justment Administration, 140, 152; 
commission, 133; commodities, 126; 
^conditions, 164; Marketing Act, 110 

Ahlberg machine, 90 

Air circulation system, 58 

Alachua County, 4 

Alaska, 93 

Albany, 8 

Alcoma, 240; Association, Incorpo- 
rated, 249; Citrus Cooperative, 191; 
Citrus Sub-Exchange, 237 

Allan, H. C, 18, 22, 32, 43, 201, 212, 
219, 229, 231 

Allen, C. T., 23 

Allen, J. Craig, 23 

Alva, 161, 168, 175 

American Magazine, 55, 92 

Anderson, A. V., 75, 83, 87 

Anderson, Charles B., 136, 143, 150, 
155, 175 

Anderson, Frank Kay, 102 

Anderson, Fred T., 181 



Anderson, L. B., 141 

Andrews, J. W., 57 

Anhydrous citric acid, 147 

Apple crop, 163, 209 

Arcadia, 4, 77, 123, 128; Citrus Sub- 
Exchange, 9, 76, 77; Citrus Grow- 
ers Association, 77 

Arizona, 93, 101, 105, 157, 163, 164, 
182, 227 

Arsenic sprays, 90 

Assessments, 10, 24, 147, 185, 238; 
central exchange rate, 9; from sales 
returns, 9; non-payment of, 9; sub- 
exchange rate, 9; for advertising, 16, 
72, 77; reduced,. 119 

Associated Growers and Shippers of 
Florida, 145 

Associations, 7, 8, 21, 24, 26, 42, 51, 
52, 57, 59, 64, 69, 70, 71, 119, 130, 
152, 174-245 passim; vegetable, 31; 
directors of, 52; new, 52 

At-cost operations, 133-134 

Auction, 224, 239; fruit, 89; points, 21; 
prices, 207 

Aulls, L. D., 137, 144, 150, 155, 161, 
168, 181, 187, 193, 200 

Avon Park, 175, 187, 192, 201, 212, 
219, 229, 238, 240, 241; Citrus Sub- 
Exchange, 212, 219 

Aycrigg, G. B., 200, 201, 212, 219, 
229, 238, 241 

Baltimore, 23, 250 

Banks, 9; accounts, 33; deposits, 69; 

bankers, 98; Northern, 114 
Barnes, A. E., 18, 23, 29, 32, 43, 83 
Barnes, H. N., 21 



265 



FIFTY YEARS OF CITRUS 



Baron, Howard N., 241, 250 

Bartlett, J. E., 102, 109 

Barton, C. M., 6 

Bartow, 6, 131, 143, 145, 150, 154, 

161, 168, 238, 241 
Bateman, W. W., 21 
Baum, W. H., 6 
Beeland, E. S., 252 
Bentley, Edward R., 112 
Birchfield, Dr. W. W., 24 
Black fly, 63, 227 
Blanding, General A. H., 84, 87, 96, 

102, 110 
Board of Directors (mentioned pas- 
sim) 
Bolick, Clinton, 109, 118, 125, 131 
Borax solution dip, 97 
Borden Farm Products Company, 121 
Borland, H. L., 18, 19, 22 
Boston, 21, 23, 61, 92, 250 
Bottled juices, 122; synthetics, 191 
Bourland, D. S., 4, 8 
Box basis, 70, 72, 73 
Boyd, John, 10 
Boynton, C. A., 8 
Bradenton, 2, 4, 128, 131, 136, 143, 

150, 154, 181, 187, 192, 201; Citrus 

Growers Association, 96 
Bragdon, K. E., 63 
Brands, 70, 71, 72, 88, 101, 122, 166, 

179; boxed fruit, 21; individual, 71; 

nationally advertised, 71 
Brannan, Secretary of Agriculture, 227 
Braungart, George, 57 
Bremen, 120 
Brevard County, 4 
Briddell, Y., 43 

British Purchasing Commission, 189 
Broadwater, C. M., 6 
Brogdex Company, 97 
Brokerage, 72, 128, 178, 260, 261 
Brooks, G. R., 138 
Brooksville, 175, 181, 187, 192, 235, 

240 
Brown, Vet L., 75, 82, 83, 87, 95, 102, 

109, 118, 131 
Bruce's Products, Incorporated, 122 
Brunner, E. D., 10 
Bucher, C. H, 23 
Buckingham, W. S., 200 
Bulk fruit, 81, 89, 104, 118, 120, 126, 

139-40, 245 



Bulwinkle, George E., 10 

Burbank, M. S., 4, 7, 13, 14 

Burleigh, E. S., 4, 8 

Burns, Jay, Jr., 84, 87, 95, 102 

Burr, E., 18 

Burton, R. P., 7, 8, 9, 12, 14, 17, 18, 

112, 118 
Bustamante, Ramon, 167 
, Buyers, 147; produce, 32; cash, 254 
j By-laws, 4, 18, 19, 63, 73, 99, 100, 
111; amendments to, 19; specimen 
\jfor associations, 63 
By-products, 14, 170, 191, 260; juice, 
122 

Cadel, John S., 75, 81, 84 

California, 2, 3, 7, 16, 36, 37, 38, 50, 
56, 93, 105, 107, 110, 115, 117, 120, 
133, 144, 153, 156, 157, 160, 163, 
164, 166, 171, 172, 173, 182, 184, 
185, 188, 191, 198, 199, 210, 213, 
214, 217, 220, 222, 223, 224, 225, 
227, 244, 256, 257; study of citrus 
of, 2; organization, 5; railroad de- 
velopment, 3 

California Citrus Exchange plan, 3, 4 

California Citrus Growers Exchange, 
115; Fruit Growers Exchange, 36, 
37, 178 

California Fruit Exchange, 3, 7, 12 

Camp, Dr. A. F., 180 

Camp, Jack, 15 

Camp, W. N., 13, 14 

Campbell, M. G., 95 

Canada, 34, 152, 153, 159, 185, 186, 
222; provinces of, 159; government 
of, 217 

Canker: citrus, 32; fight against, 45 

Canned juices, 122, 208, 209, 210, 216, 
217 

Canning, 17, 62, 123, 153, 166, 205, 
211, 222, 246; factories, 63, 128, 
153, 180, 183, 184-85, 202, 206, 208, 
214, 215, 221, 225, 231, 234, 245, 
251, 255, 258, 260; division, 237, 
243 

Cantaloupes, 163 

Carlton, Governor Doyle, 145 

Carlton, H. E., 8 

Carr, J. O., 109, 118, 125, 130, 131, 
136, 137, 143, 150, 154 

Carriers, 53, 176 



266 



INDEX 



Carson, J. W., 4 

Carter, W. T., 14, 16, 18, 19 

Carry, J. W., 18, 22 

Carvey Brothers, 6 

Case, H. C, 145 

Casey, A. J., 23 

Casler, E. B., 61 

Castle, A. C, 82 

Central Exchange, 150 

Central marketing organization, 72 

Certificate of inspection, 147 

Certified marketing cooperative, 8 

Chain stores, 126, 132, 184, 259 

Chambliss, Z. C., 8, 24 

Charlotte Citrus Sub-Exchange, 77, 
83, 87, 95, 102, 109, 118, 125 

Charlotte County, 77 

Charter, 4, 19, 73, 77, 99, 100, 111; 
original, 18; amendment, 19, 60 

Chase, J. C, 111, 118, 125, 130, 136 

Chase and Company, 71, 111, 114, 
125, 144 

Chase Citrus Sub-Exchange, 118, 130, 
136 

Chemistry, Bureau of, 22 

Chewning, C. W., 23 

"Cinderella Product, The," 223 

Citizens Bank and Trust Company, 
16, 33 

Citrus, mentioned passim; belt, 68, 70, 
101; Code, 223, 224; Concentrates, 
Inc., 196; Experiment Station, 12, 
199; Growers Associations, 9; Citrus 
Industry Magazine, 102; juice, 92; 
preservation program, 14, 17; Legis- 
lative Committee, 146; Maturity Act, 
145, 146-7; pulp industry, 204; 
salads, 203, 218 

Claims, 53, 93 

Clark, Frank G., 44, 130, 131, 136, 
137, 143, 145, 148 

Clark, John D., 109, 118, 125, 136, 
137 

Clark, K. S., 10 

Clark, W. W., 6 

Clark, 240; Citrus Sub-Exchange, 175, 
200, 219, 238; Special, 187, 212 

Clearing house, 97, 99, 100, 101, 112 

Clearing House Association, 119 

Clearwater, 6, 145, 201, 212, 219; 
Growers Association, 249, 252 

Clinton Foods, Inc., 234 



Coachman, Walter F., Sr., 99 

Cobb, B. J., 10 

Coconut Grove Citrus Growers Asso- 
ciation, 9 

Cohen, J., 23 

Cold air, 57 

Cold storage, 104 

College of Agriculture, 216 

Color-Added Act, 145, 147 

Color, artificial, 55-6; control of, 146 

Commander, C. C, 84, 85, 86, 87, 88, 
89, 90, 92, 96, 97, 101, 102, 104, 
110, 112, 118, 120, 125, 131, 137, 
143, 145, 149, 150, 154, 156, 157, 
161, 165, 168, 181, 186, 187, 189, 
193, 198, 202, 212, 219, 229-30 

Commercial marketing, 69, 71, 72-3 

Commissioner of Agriculture, 90, 146, 
147; Florida, 98; United States, 98 

Commissioners, qualifications of, 198 

Committee of Fifty, 99, 100 

Committee of Forty-Six, 2 

Communications, channels of, 26 

Competition, 26, 44, 52, 59, 91, 101, 
133 

Complaints, 42 

Concentrates, 191, 210, 216, 256; 
frozen, 195-6; plants, 221-2, 224, 
225, 243, 247, 251, 254, 255, 257; 
hot-pack, 234; division, 237, 243 

Congress, 104; delegates to, 44 

Connolly, Joseph, 23 

Connor (and Shellabarger), 6 

Consumer Package Division, 79, 250 

Containers, 79, 127-8, 140, 147, 166, 
197, 205, 226, 243 

Continental Can Company, 239 

Contracts, 37, 64, 100, 122-3; govern- 
ment, 234 

Controls, 115, 116, 173, 220, 252; 
government, wartime, 192 

Conventions, 1, 2, 7, 17; Orange 
Growers, 1; apple, 32 

Cook, O. G., 9 

Cook, W. H., 4 

Coolers, 57 

Cooper, R. K., 238, 240, 249 

Cooperatives: marketing, 50, 51, 67, 
71, 91, 114, 214, 215, 216; canning, 
57; selling, 72, 91; service, 195 

Corey, Merton L., 99 

Cornell, H. E., 75, 82, 83, 95, 102, 



267 



FIFTY YEARS OF CITRUS 



109, 118, 125, 131, 136, 143, 145, 
148, 150, 154, 161, 168, 175, 181, 
187, 192, 200 

Corrigan, J. F., 4, 8 

Cosmopolitan, 23 

Covode, W. T., 18, 22, 30, 32, 43, 45, 

48, 61, 65, 76, 84, 87, 96, 102, 110, 
118, 131, 137, 144 

Credit, 33, 115 

Crescent City Citrus Growers Asso- 
ciation, 9 

Crews, Harold, 66, 131, 137, 143, 150, 
155, 161 

Criticism, 67, 72, 90, 112 

Crystal River, 6 

Crystals, juice, 196 

Cuba, 21, 117, 163, 227 

Curry, J. R„ 23, 32, 43, 51, 118, 125 

Cuthbert, Rosa, 10 

Dade County, 4, 65 

Dade County Citrus Sub-Exchange, 

50, 60, 75, 83, 87, 95, 102, 109, 118, 

125, 130, 136, 150 
Davenport Sales Company, 57 
Davis, F. W., 118, 119, 125, 131 
Day, Lee S., 131, 136, 143, 150, 154 
Dayton News, 35 
Dealer service, 79, 92, 107, 153, 160, 

173, 179, 211, 234 
DeBusk, E. F., 161, 168, 175 
Decay, 103, 117-18 
Dehydration, 97 
DeLand, 24, 131, 136, 143, 150, 161, 

168, 175, 181, 187, 192 
Delineator, 46 
Dennis, S. J., 45 
Depression, 111, 117, 124, 126, 131- 

32, 134, 138, 144, 154, 157, 162, 

163, 196, 206, 220, 222, 246 
DeSoto Canners Associations, 123 
DeSoto City, 136 
DeSoto County, 4, 22, 24, 29, 65, 77; 

Citrus Sub-Exchange, 21, 42, 45, 48, 

49, 50, 60, 66, 75, 77, 83, 87, 95, 102, 
109, 118, 125, 130, 136, 150 

DeVVolf, Grace, 19, 22, 32, 43 
Diseases, 227, 237, 248 
Distribution, 36, 50, 97, 140, 184, 194, 

198, 206, 209, 211, 226, 234, 245, 

256, 261 
Districts, 66, 134, 138, 152, 166 



Doctor of Cooperative Service, 76, 86 

Dossel, Blanch, 43 

Dow, E. D., 10, 17, 18, 32, 43, 45, 53, 

76, 84, 87, 93, 96, 102, 110, 118, 

131, 230, 238 
Dozier, A. J., 81, 83, 87, 95, 102, 109 
Drane, Representative Herbert J., 13, 

14, 44 
Drew, William, 112 
Drought, 164, 199, 221, 247, 251 
Duggins, G. H., 23 
Duncan, Robert Kennedy, 13, 17 
Dundee, 201, 212, 219, 229, 238, 240, 

252; Sub-Exchange, 212, 219 
Dunedin, 6, 196, 216 
Dutton, Mary L., 55 

Eagle Lake, 62, 113 

East Palatka, 61 

Economic pressures, 28, 135 

Educational campaign, 36, 40, 51-53 

Edwards, L. C, 76, 81 

Edwards, William, 130, 131, 149 

Elfers, 240; Citrus Growers Associa- 
tion, 249; Sub-Exchange, 235, 238 

Ellis, J. P., 231, 238, 241, 249 

Ellsworth, W. J., 83, 87, 95, 102, 109 

Embargoes, 104, 105, 209, 217, 227, 
253 

Erbaugh, R. W., 10 

Erwin, Wasey, and Company, 81, 83, 
91 129 

Europe, 27, 92, 101-02, 160, 174, 197, 
217; countries of, 93, 217 

European Recovery Program, 218 

Eustis, 123, 181 

Exchange and Supply Cooperative, 
222 

Exchange Juice Company, 121 

Exchange National Bank, 140, 141 

Exchange Supply and Service Co- 
operative, 24, 243-44 

Exchange Supply Company, 24, 46, 
58, 63, 94, 114, 154, 174, 211, 219 

Excise tax, 147, 179 

Experiments, 45, 47 

Exports, 89, 106, 113, 120, 127, 152, 
174, 216, 217, 241, 243, 247; experi- 
ment, 81; association, 89, 90 

Farm Credit Administration, 138, 
139, 160 



268 



INDEX 



Farm Credit Association, 138 

Farmer, L. T., 136 

Federal Citrus By-Products Labora- 
tory, 140-42 

Federal Farm Board, 110, 111, 114, 

s 124, 200 
-Federal government, 78, 133, 189, 

I 216, 226 

Federal Horticultural Board, 63, 79 

"Federal Inspection Service, 79, 80 

Federal Intermediate Credit Bank, 
114 

Federal Marketing Agreement, 133, 

. 144, 152, 157, 160, 214 

Federal Surplus Commodities Cor- 
poration, 165 

Felix, Charles, 73, 187 

Felix, O. M., 84, 87, 96, 102, 110, 113, 
137, 144, 150, 155, 161, 168, 181, 
187 

Felt, J. P., 24 

Ferguson, 6 

Fibopak, 79 

Field Box Act, 145, 146, 147 

Field organization, 106-07 

Fielder, Terrel, 4 

Finances, 8, 10, 16, 20, 24, 27, 29, 
31, 33, 64, 69, 70, 73, 86, 114; aid, 
33, 45 

Flake, John C, 245, 249 

Fleming, 11 

Fletcher, Senator Duncan U., 44 

Flisch, Louise C, 43 

FLO brands, 185, 211 

Florence Citrus Growers Association, 
15, 142, 249 

Florence Special Citrus Sub-Exchange, 
186 

Florence Villa, 2, 9, 167, 192, 240 

Florence Villa Citrus Sub-Exchange, 
75, 83, 87, 95, 102, 118, 125, 130, 
136, 150, 161, 175, 200, 212, 219, 
228, 238 

Florida, state of, passim; Central Com- 
mittee, 140; Citrus Code, 148; Cit- 
rus Commission, 86," 143, 146, 152, 
157, 158-59, 164, 179, 189, 190, 195, 
198, 208, 209, 211, 217, 220, 222, 
243, 252-53, 254; Citrus Commis- 
sion Act, 145; Citrus Exchange, 
passim; Citrus Growers Clearing 
House Association, 105-06, 118; Cit- 



rus Mutual, 214, 215, 223, 224-25, 
228, 229, 230, 231; Citrus Producers 
Trade Association, 165-66, 183, 211; 
Citrus Products Exchange, 237, 245, 
246; Citrus Trade Association, Inc., 
99; Experiment Station, 180; Lychee 
Growers Association, 238; Orange 
Growers, 6; Orange Juice Corpora- 
tion, 122; Power and Light Com- 
pany, 99; Railroad Commission, 102; 
Southern College, 216; State Cham- 
ber of Commerce, 99; State Plant 
Board, 32; Tangerine Cooperative, 
243; Tropical Fruit Growers Asso- 
ciation, 237; United Growers, 111 

Floridagold Citrus Corporation, 113 

Florigold, 185, 199, 211 

Fogg, N. H., 6 ~ 

Food and Drug Administration, 205 { 

Foreign aid program, 216 

Fort Myers, 4, 6, 131 

Fort Ogden, 77, 130, 136, 143, 150, 
154; Citrus Growers Association, 77 

Fort Pierce, 123, 167, 175, 181, 186, 
192, 201, 212, 219, 229, 235, 238, 
240; Citrus Growers Association, 
249; Citrus Sub-Exchange, 167, 175, 
200, 212, 219, 238; Special, 186 

Fort Worth, 8 

France, 87, 93, 106, 237 

Frazer, B. C, 43 

Freeze, 7, 26-27, 28, 31, 39, 50, 88, 
101, 103, 144, 151, 156, 164, 175-77, 
179, 181, 209, 213, 216, 220, 222, 
223, 224, 231, 242, 248, 252, 253, 
254 

Freight, 163, 170, 180, 204-05 

French, C. J., 10 

Frostproof, 4 

Frozen concentrate, 195-96, 216, 221, 
222, 223, 224, 226, 228, 231, 232, 
234, 237, 239, 240 

Frozen food, 195, 226 

Frozen orange juice, 121-22, 203 

Fruit fly, 227, 250, 252, 254 

Fruit juices, 104, 167, 226; extractor, 
25 

Fruitmen's Club of Florida, 86, 87, 
90, 98, 99 

Fuller, W. R., 6 

Fulton, W. A., 4, 8, 10, 13, 14, 15, 
16, 18, 19 



269 



FIFTY YEARS OF CITRUS 



Fumigation, 63, 248, 250 

Gailliard, William, 19 

Gainesville, 161, 168, 175, 195 

Garber, J. P., 235, 238, 240 

Garrett, Charles A., 118, 125, 131, 
136, 143, 150, 154 

Gaughan, E. E., 200, 202, 212, 219 

Geier, William G., 161, 168, 175, 181, 
187, 192, 200 

Georgia Peach Growers Association, 11 

Gill, Joe H., 99 

Gillett, D. C., 29, 30, 32, 43, 45, 47, 
48, 49, 60, 61, 62, 65, 75, 82, 84, 
87, 95, 111, 118, 125 

Gillett, M. E., 7, 9, 11, 62 

Gillett, W. G., 7 

Glen St. Mary, 99 

Golden Triangle Canning Corpora- 
tion, 123 

Good Housekeeping, 16, 23, 46, 91 

Goodman, F. P., 109 

Goodwin, J. C, 103 

Goodwin, R. L., 9 

Gordy, Blanche, 19 

Grace, Julia, 43 

Grading, 3, 20, 51, 80, 90, 115, 146, 
164, 166, 170, 179, 183, 224, 251 

Grapefruit, 36, 37, 38, 39, 44, 47, 50, 
54, 55, 56, 81, 89, 103, 104, 106, 
108, 117, 119, 120, 132-33, 138, 144, 
147, 156, 157, 158, 165, 172, 177, 
180, 182, 185, 190, 191, 199, 203, 
204, 207, 208, 209, 210, 214, 215, 
217, 221, 223, 225, 231, 232, 233, 
239, 240, 242, 243, 246, 247, 250, 
256; canned, 56-57, 62, 94, 128, 142; 
markets, 93, 173; Texas, 93, 105; 
tariff on, 153; seeded, 166; "hearts," 
206 

Grapefruit juice, 194, 205, 215-16, 
231; canned, 104; frozen unsweeten- 
ed, 243; sugar added, 243 

Graves, W. C, Jr., 200 

Graves Brothers Company, 245 

Gray, W. B., 4, 7, 10, 13, 14, 15, 16, 
18, 19, 24 

Great Britain, 27, 89, 92, 127, 191 

Great Southern Citrus Association, 
191 

Griffin, J. A., 99 

Griffin, S. L., 10 



Grigham, F. E., 112 

Grimes, E. G., 145 

Grossenbacher, J. G., 118, 125, 131, 
136 

Grove records, 51 

Groves, 71, 72, 96, 103, 104, 132, 
178, 181, 197, 252 

Growers, passim; Administrative and 
Shipper's Advisory committees, 250- 
51; and Shipper's League, 93; Cost 
Guarantee Act, 145, 146, 147-48; 
Loan and Guaranty Company, 33, 
45, 46, 94, 114, 137, 154, 173-74, 
177-78, 199, 211, 219, 229, 243 

Gudgen, E. F., 73 

Gumprecht, H. G., 21, 29, 81 

Gumprecht, H. G., Jr., 26 

Gunn, C. J., 10 

H. O. BREAKFAST FOOD, 55 

Hagadorn, Delisle, 15 

Haines City, 9, 161; Citrus Growers 
Association, 8, 191, 2cS0 

Haizlip, W. T., 18 

Hakes, L. A., 138 

Hale machine, 90 

Hall, A. S., 10 

Hamburg, 89, 106, 120 

Hamlin, A. G., 45, 47, 49 

Hainmel, L. M., 29, 42, 43, 60, 65, 
75, 77, 81, 83, 87, 95, 102 

Hardee County, 77, 204; Citrus Sub- 
Exchange, 77, 83, 84, 87, 95, 102 

Hare, C. C, 28 

Harness, Charles G., 9, 17 

Harp, G. W., 16, 18, 19, 24, 28 

Harper, W. L., 43 

Harris, 89 

Harrison, Sam, 10 

Hart, W. S., 3, 4, 7, 10, 13, 14 

Harvey, O. J., 138, 229, 235, 238, 240, 
249 

Hatton, H. C, 22 

Hausman, T. L., 49 

Headquarters, 7, 16-17, 25, 46, 124, 
167 

Heathcote, W. E., 4, 8, 10, 13, 14, 
15, 16, 18, 19 

Heck, Joy, 60 

Heitman, H. E., 4, 7, 10 

Henderson, Fred T., lo5, 168, 175 

Hernando County, 4 



270 



INDEX 



Hewitt, W. C, 9 

Highland Citrus Sub-Exchange, 9, 22, 

24, 29, 42, 45, 49, 50, 60, 75, 83, 

87, 95, 102 
Highland County, 65 
Hillsborough County, 4, 24, 32, 65; 

Citrus Sub-Exchange, 22, 29, 43, 45, 

47, 49, 50, 60, 75, 83, 87, 95, 102, 

109, 118, 125, 131, 136, 150 
Hipson, C. B., 130, 136, 143, 150, 

154, 186, 192, 200 
Holland, R. H., 23 
Holland, Spessard L.: Judge, 145; 

Governor, 189; Senator, 227 
Holmes, G. W., 14, 16, 18, 19, 22 
Holmes, H. C, 23 
Holtsinger, Eugene, 3, 4, 6, 10, 13, 

14, 15, 16, 18, 19 
Hooker, W. H., 4 
Hooks, Homer, 254 
Horton, E. S., 241, 249 
Housewives League Magazine, 24 
Howerton, Guy E., 222 
Howey, W. J., 95, 109, 145 
Howk, Bee, 19 
Hull, 89, 106 
Hume, Dr. H. Harold, 99 
Hunt, D. A., 118, 125, 137, 143, 150, 

154, 161, 168, 175, 181, 187, 192, 

200, 201, 212, 219, 229, 231, 245, 

249 
Hunt Brothers Cooperative, 245, 249 
Hunter, F. L., 23 
Hunter, Judge William, 11, 18, 19, 

22, 30, 32, 43, 45, 48, 61, 76, 84, 

87, 102, 110, 118, 125, 131, 137, 

144, 145, 149 
Hurlburt, G. B., 238, 247, 249, 252 
Hurley, A. W., 109, 118, 125, 131, 

136, 137, 143, 150, 154, 161, 168 
Hurricanes, 144, 195, 199, 213, 216, 

223 

Ice-water, 57-58 

Indian River, 199, 211, 218, 240, 243; 
Citrus Sub-Exchange, 9, 22, 24, 29, 
43, 45, 47, 49, 50, 60, 75, 84, 87, 
95, 102, 109, 118, 125, 130, 136, 
150, 161, 167, 175, 186, 200, 212, 
219, 238, 249, 252; County, 65, 130, 
136, 143; district, 185; Exchange 
Canners, 123 



Indianapolis News, 35 

Industrial chemistry, 13 

Industrial research, 13 

Industries: wars, 90-91; manufactur- 
ing, 117; services, 119 

Infestations, 103, 112 

Influenza epidemic, 89 

Inman, Dr. F. W., 2, 3, 4, 5, 7, 10, 
12, 13 

Inman Park, 12 

Insecticides, 90, 250 

Insects. See Pests 

Inspections, 23, 42, 66-67, 85, 103, 
134, 227, 233; reports on, 42; gov- 
ernment, 56, 84, 126; department, 
66, 68; fee, 147; taxes, 198 

Insurance Company of North Amer- 
ica, 80 

International Apple Association, 32 

International Fruit Citrus Sub-Ex- 
change, 118, 125, 131, 136, 150, 161, 
168, 175; Special, 186 

International Fruit Corporation, 111, 
114 

Interstate Commerce Commission, 
205 

Irrigation, 164 

Isle of Pines Growers Exchange, 21 

Jacksonville, 6, 10, 53, 99, 201, 212, 

219, 229, 237, 240 
Jardine Clearinghouse, 98 
Jobbers, 79, 92, 107 
Johnson, A. B., 29 
Johnson, Armer C, 200, 201, 212, 

219, 229, 238, 241, 249 
Johnson, Counts, 137, 145, 150, 155, 

160, 161, 168, 181, 187, 193, 200, 

202, 212, 219, 230, 235, 241, 249, 

250 
Johnston, Frederick Swain, 73, 168, 

181, 187, 193, 200, 202, 212, 214, 

219, 222, 230, 233, 235, 241, 250 
Jones, J. W., 139 
Jones, L. D., 18, 22, 24 
Juice, 147, 151; extractors, 80, 92-93; 

bottled, 122; canned, 122; crystals, 

196; powders, 196 

Kay, A. H., 11 
Kearney, N. J., 250 
Keefe, Joe E., 252 



271 



FIFTY YEARS OF CITRUS 



Kehoe, Representative Walter, 44 

Kellerman, H. H., 84, 87, 95 

Kennedy, D. P., 23 

Kenyon, 18, 19 

Kepler, R. J., Jr., 60, 75, 82, 84, 87, 

95, 118, 125, 155, 161, 168, 175, 

181, 187, 192, 200 
Kerr, Mrs. H. E., 43 
Key West, 63 
Kilgore, Barney, 15, 145 
Kilgore, J. E., 8 
Kirkhuff, A. O., 96 
Kirkhuff, W. O., 181, 187, 192, 200, 

201 
Kirkland, L. P., 145 
Kissimmee, 58, 131, 136, 143, 150, 

154 
Klock, Dr. J. E., 29, 33, 43, 45, 46, 

62 
Knight and Middleton, Inc., 196 
Koplin, George E., 6, 8, 13, 14, 15, 

16, 18, 19 
Kramer, F. C. W., Jr., 49, 60, 64, 65, 

75, 76, 81, 83, 84, 87, 95, 102, 109 
Kyle, Carlisle, 207, 212, 219, 230 



Labor, 176, 192, 194, 197, 205 

Ladies' Home Journal, 46 

Lainheart, G. W., 4, 7 

Lake Alfred, 12, 131 

Lake Apopka Citrus Sub-Exchange, 
75, 83, 87, 95, 102, 109, 118, 125, 
131, 136, 150, 161, 168 

Lake Byrd, 240; Sub-Exchange, 235, 
238 

Lake Como Citrus Growers Associa- 
tion, 9 

Lake County, 4; Citrus Sub-Exchange, 
109, 118, 130, 136, 150, 161, 168, 
175, 187, 200, 212, 219, 229, 238, 
249 

Lake Placid, 99, 191; Packing Com- 
pany, 191 

Lake Region, 240; Citrus Sub-Ex- 
change, 75, 83, 87, 95, 102, 109, 
118, 125, 131, 136, 150, 155, 161, 
168, 175, 187, 200, 212, 219, 238, 
249; Packing Association, 238, 240, 
249, 252 

Lake Wales, 128, 143, 150, 154, 161, 
168, 175, 181, 187, 191, 192, 201, 



212, 216, 219, 229, 237, 240, 245, 

248 
Lakeland, 25, 136, 143, 145, 150, 154; 

Chamber of Commerce, 25 
Lane, Edward W., 99 
Lane, F. A., 4, 6 
Largo, 131, 136, 143, 150, 154, 161, 

168, 175 
Larvae, 103, 248 
Lee, J. H., 4 
Lee, R., 84 
Lee, W. E., 75, 76, 82, 84, 87, 95, 

102, 109 
Lee, Walter, R., 49, 65, 75, 81, 84, 

87, 102, 109, 118, 125 
Lee County, 4, 22, 24, 65; Citrus Sub- 
Exchange, 21, 41, 45, 48, 49, 50, 60, 

75, 84, 131; Packing Company, 6' 
Leesburg, 76; Citrus Sub-Exchange, 9 
Legislation, 3, 90, 145-48, 158-59; 

frost-damaged fruit, 90; green-fruit, 

90, 115; maturity tests, 90; state, 133, 

149, 150, 151, 198-99; federal and 

state, 171 
Lemonade, 237 
Lemons, 56, 115 
Lend-lease, national, 189 
Lesley, John T., 230, 235, 236, 239, 

241, 244, 250, 251, 256, 258 
Lewis, Dr. Burdette G., 99 
-Licensing and Bonding Act, 145, 147 
Licensing and Bonding Citrus Fruit 

Dealers, 146 
Life, 92 

Lime concentrate, 237 
Limestone Citrus Growers Association, 

77 
Lindsey, Carroll, 189 
Lines, Earl E., 131, 137, 144, 150, 155 
Liquid Dehydration Corporation, 96 
Literary Digest, 23, 32, 46 
Livermore, E. P., 65, 75 
Loans, 33, 111, 138 
Long, H. E., 6, 10 
Looney, S. L., 144, 150, 155, 161, 168, 

181, 187, 193, 200, 202, 212, 219, 

229 
Louisiana, 105, 110, 244 
Lowell Telegram, 34 
Lowry, L. L., 131, 136, 143, 150, 161, 

167, 168, 175, 181, 186 
Lucerne Park Fruit Association, 111 



272 



INDEX 



McCarty, Thomas, 4 

McClaren, H. C, 23 

McClaren, H. C, Jr., 23 

McCormick, C. E., 45, 48 

McDermott, F. Alexander, 17 

MacDowell, Dr. L. G., 195 

McGaughran, L. T., 23 

McKay, A. W., 45 

MacKenzie, Dr. W. A., 76 

McKethan, Alfred A., 235, 240, 249 

Maas Building, 167 

Mace, J. P, 13, 14, 16, 18, 19 

Maggots, 103 

Manatee, County, 4, 22, 24, 29, 65; 
Citrus Sub-Exchange, 9, 21, 26, 29, 
43, 45, 47, 49, 50, 60, 75, 84, 87, 95, 
102, 109, 118, 125, 131, 136, 150 

Mandeville, Paul, 57 

Marion County, 4, 22, 24, 29, 33, 65; 
Citrus Sub-Exchange, 29, 43, 45, 49, 
50, 75, 84, 87, 95, 102, 109, 118, 
125, 131, 136 

Marketing, 15, 21, 27, 36, 38, 42, 70, 
72-73, 131-32, 142, 144-210 passim, 
213, 233, 242, 243, 244, 246, 247, 
248, 250, 251, 254, 258, 261, 262; 
control, 1, 111; method, 2; organi- 
zations, 6, 71, 72; machinery, 98, 170; 
agencies, 105; cooperatives, 110; 
services, 118-19; Agreement, 164, 
165, 183; laws, 206 

Markets, 1, 37, 44, 50, 54, 55, 63, 68, 
88, 92, 94, 104, 117, 122, 126, 133, 
139, 140, 149, 151, 164, 165, 172, 
176, 179, 184, 186, 190, 195, 198, 
199, 206, 211, 214, 218, 220, 225, 
226, 230, 231, 232, 234, 236, 239, 
240, 242, 250, 259, 260; Northern, 
23, 71, 138; Bureau of, 45; Euro- 
pean, 86, 89, 102, 113, 217, 239, 
241; export, 89, 97, 138, 159-60, 
243; American, 101, 105, 110, 173; 
slumps, 104, 253; domestic, 105, 121, 
153, 160, 174, 191, 211; Southeast- 
ern, 139; Canadian, 153, 239, 243; 
war-created, 191; Eastern, 199; Brit- 
ish, 204; Asiatic, 217 

Marking machines, 107 

Marmalade, 191 

Marshall Plan, 218 

Martin, Edward G., 19, 23 

Maturity, 240, 255; chemical stand- 



ard of, 22; Florida's restriction on, 

22; tests for, 56; Act, 146; law, 224 
Maury, H. E., 16 
Maxcy, Latt, 145 
Mayo, Nathan, 90, 98 
Mechanical sectionizers, 203 
Mediterranean fruit fly, 103-05, 108, 

110, 112, 117, 118 
Mellon, A. W., 17 
Mellon, R. B., 17 

Mellon Institute of Industrial Re- 
search, 17 
Merchandising: 38, 39, 40, 98, 113, 

134, 151, 178, 186, 206, 238, 240, 

241, 244, 247, 258, 260, 261, 262; 

methods of, 115-16; requirements, 

170 
Mergers, 110-11, 138 
Merrill, B. E., 19, 22, 60, 95 
Mershon, George W., 136, 143, 150, 

154 
Merzwick, Mae, 18 
Metcalf, Charles, 19 
Metcalf, Charles G., 219, 229, 235 
Metcalf, Charles W., 235, 241 
Midgley, Almira, 43 
Miles (and Lane), 6 
Miller, J. B., 23 
Minimum standards, 240~~ 
Misconduct, charges of, 112 
Montgomery, L.H., 4 
Moody, Ford W., 212, 219, 229, 231, 

235, 238, 241, 247, 249, 252 
Moody, W. H., 23 
Moorhead, Caroline, 47 
mor-juice, 138, 153 
Morley, John, 125, 131 
Morrill, Edna M., 43 
Morton, D. H., 19, 22 
Moscnp, John, 76, 84, 87, 91, 96, 

102, 110, 118 
Moseley, Bruce, 18 
Moseley, William M., 161, 167, 168, 

175, 181, 186, 192, 200, 201, 212, 

219 229 235 
Mount Dora, 58, 201, 212, 219, 229, 

238, 241 
Mountain Lake Corporation, 84 
Mouser, W. H., 145 
Murphy, Taylor, 10 

Nall, Edna, 32 



273 



FIFTY YEARS OF CITRUS 



Naranja Citrus Growers Association, 9 

National: Canners Association, 189; 
Dairy Product Corporation, 121; 
Juice Company, 121; Research Cor- 
poration, 196; School Lunch Pro- 
gram, 234 

Navel oranges, 144, 214 

Neal, G. A., 21 

Needles, Homer, 75, 81, 102, 109, 
118, 125 

Neirmann, A. J., 23 

Nematode, burrowing, 248 

Newspapers, listed on Florida Citrus 
Exchange advertising schedule (De- 
cember 19, 1917), 34-35 

New Smyrna, 167 

New York, 8, 16, 23, 34, 61, 92, 106, 
113, 140, 153, 167, 245, 246; Milk 
Bill, 147 

Newell, Dr. Wilmon, 32, 103 

Newton, V. B., 61, 65, 75, 76 

Nocatee Citrus Growers Association, 
77 

Non-bearing acreage, 93, 101 

Nonstandard fruit, 89 

Norman, R. E., 10 

North DeSoto Citrus Sub-Exchange, 
9, 76, 77 

North Indian River, 240, 245; Citrus 
Sub-Exchange, 219, 231, 249 

North Pinellas, 240; Citrus Sub-Ex- 
change, 161, 168, 175, 187, 200, 212, 
219, 229, 235, 238, 249 

Oak Hill, 150, 154, 161, 167, 175, 
181, 186, 192, 201, 212, 219, 229, 
167 
Oberholtzer, Roy, 19 
Ocala, 6, 15 

Office of Price Administration, 199 
Olson, John L., 201, 212, 219, 229, 

235, 238, 240, 241, 247, 249, 252 
O'Malley, J. A., 23 
Orange Advertising Tax, 198 
Orange Sub-Exchange, 21; Citrus 
Sub-Exchange, 95, 102, 118, 125, 
131, 136, 150, 175, 200 
Orange City Citrus Growers Associ- 
ation, 9 
Orange concentrate, 105, 210 
Orange County, 4, 22, 24, 29, 65, 130, 
241, 247; Citrus Sub-Exchange, 9, 



43, 45, 48, 49, 50, 51, 60, 75, 83-4, 
87, 109, 161, 168, 187, 212, 219, 
238, 249 

Orange juice, 14, 107, 190, 205; pre- 
served, 17; powdered, 17; syrup, 17; 
frozen, 121-22, 196; dehydrated, 
203; canned, 215; single-strength, 
243; sugar-added, 243; vending ma- 
chine, 167. 

Oranges, 36, 37, 38, 44, 50, 51, 54, 
55, 56, 119, 120, 138, 144, 147, 157, 
158, 165, 167, 172, 177, 182, 185, 
190, 191, 196, 199, 202, 204, 205, 
207, 208, 209, 214, 221, 223, 224, 
225, 226, 231, 232, 237, 239, 243, 
244, 246, 247, 250, 256, 257; cull, 
13; tariff on, 153, 159; Spanish, 160 

Organization Department, 51, 52, 118 

Oriental fruit fly, 227 

Orlando, 6, 46, 80, 99, 131, 155, 195 

Overstreet Crate Company, 6 

Owanita Citrus Growers Association, 9 

Owens, Evelyn, 10 

Owna Citrus Growers Association, 77 

Pacific Fruit Exchange, 120 
Packaging, 10, 115, 118, 127-28, 179, 

205, 260, 262 
Packing House Association, 57 
Packing houses, 36, 52, 56, 62, 107- 

08, 114, 154, 166, 173; licensing of, 

104 
Page, Walter J., 231, 235, 241 
Painter, E. O., 6 
Painter, Walter D., 18, 22, 43 
Painter, W. F., 32 
Palatka, 6 

Palm Beach County, 4 
Palm Harbor, 212, 219, 229, 238, 241 
Palmer, J. C, 112, 143, 150, 154, 161, 

168, 175, 181, 187, 192, 200 
Palmer, Thomas, 3, 4, 7, 10, 11 
Palmetto, 6, 145 
Parker, Finias E., 4 
Parker, Frank, 10 
Parkinson, Edward, 15, 16, 18, 19, 22, 

45, 46, 47, 75, 82 
Parslow, Fred, 10 
Pasco County, 4 
Patterson, E. E., 119, 137, 143, 150, 

155, 156 
Peace, problems of conversion, 43 



274 



INDEX 



Peaches, 11, 163 

Peacock, R. C, 7, 8, 9 

Pearce, E. L., 6, 18, 19 

Peddlers, 261 

Pemberton, I. J., 200, 201, 212, 219, 
229, 237, 240, 249 

Pemberton, Solon, 4, 7 

Peninsular Telephone Company, 2 

Penney Farms, 99 

Peoples Drug Company, 196 

Perkins, J. W., 65 

Perry, F. W., 24, 26 

Pests, 78-9, 227, 248, 250; insecti- 
cides for, 90, 250; foreign, 227 

Peters, Phil C, 43, 45, 46, 47, 48, 49, 
60, 61, 64, 200, 201, 212, 219, 229, 
235, 238, 240, 241, 247, 249, 252, 
253 

Pexa, Anna, 10, 19 

Pexa, George, 10 

Phillips, H. F., 43 

Phillips organization, 80 

Philpot, R. O., 75, 81, 83, 87, 95, 102, 
118 

Physical Culture Magazine, 92 

Pickers, shortage of, 43 

Pictorial Review, 46 

Pierson, W. M., 8 

Pineapples, 163; juice, 163 

Pinellas County, 24, 61, 130; Citrus 
Sub-Exchange, 9, 21, 22, 29, 50, 75, 
84, 87, 95, 102, 109, 118, 125, 131, 
136, 151, 155, 161, 168, 175, 181, 
187, 200, 212, 219, 238, 241, 249 

Pinks, 232 

Piano, H. C, 18 

Pledge contracts, 7 

Plymouth, 131, 136, 196, 203, 216, 
241; Citrus Growers Association, 
196, 249; Citrus Products Cooper- 
ative, 246; Citrus Sub-Exchange: 
161, 168, 175, 200, 212, 219, 238; 
Special, 187 

Poitras, Frank J., 219, 222, 235, 241 

Polk County, 3, 4, 13, 15, 22, 24, 29, 
42, 45, 50, 56, 65, 99, 130, 241; as- 
sociations, 62; Citrus Sub-Exchange, 
9, 21, 47, 49, 50, 60, 75, 83-168 
passim; 175, 187, 200, 212-49 passim 

Polk Packing Association, 181 

Polk Packing Special Citrus Sub-Ex- 
change, 187 



Pomona Citrus Growers Association, 9 

Ponder, J. W., 22, 24, 28, 29, 43, 45, 
46, 47, 48, 49, 60 

Porcher, E. P., 4 

Post-war: apprehensions, 202; de- 
mand, 199; readjustment, 197 

Potato crop, 21 

Powder: citrus, 97; juice, 196 

Pre-cooling, 45, 57-58, 107 

Premiums, 25, 80, 92 

Prepackaging, 245, 246 

Preservative dip, 97 

Preserved citrus products, 105 

Prevatt, J. B., 200, 201, 212, 219, 229, 
235, 238, 240, 241, 246, 249, 252 

Price, C. A., 23, 43 

Prices, 1, 36, 38, 39, 49, 50, 101, 104, 
113, 115, 134-98 passim, 199, 201, 
202, 204, 207, 208, 209, 210, 211, 
217, 219, 220-60 passim; protection, 
26, 128, 183; control of, 86, 97, 113, 
190, 202; competition, 126; levels of, 
151, 170, 189; minimum, 221, 224, 
231, 232, 246; war of, 232, 251; 
peacetime, 253 

Processing, 194-95, 198, 204, 205, 
206, 211, 231, 244, 246, 247; plants, 
225, 232, 237, 239, 240, 245, 256, 
257, 262 

Producers, 132, 166, 171, 185, 262 

Production, 39, 125-26, 144-45, 176, 
177, 182, 192, 195, 197, 199-232 
passim, 233, 239, 240, 242, 244-60 
passim; curtailment, 1; control of, 
51; cost of, 162-63, 166, 172, 173; 
index, 163; excesses, 171; American, 
179, 213 

Products: canned, 216, 246; raw, 258 

Prohibition Amendment, 47 

Propaganda, 98 

Prorate, 222, 232; Act, 145; plan, 
220 

Publicity, 40, 86, 89, 147 

Puerto Rico, 37, 38, 93, 101, 105, 
110, 117, 132, 157, 163 

Punta Gorda Citrus Growers Asso- 
ciation, 77 

Purchasing: central system, 24; direct, 
260 

Pure Food and Drug Act, 147^ 

Putnam County, 4 

Putnam, H. G., 22, 24, 43, 45, 46, 47, 



275 



FIFTY YEARS OF CITRUS 



65, 95, 150, 154, 161, 167, 175, 181, 
186, 187, 192, 200 
Pyland, J. B., 8 

Quality, 36, 41, 42, 74, 110, 224, 
240, 252; standards, 63, 91; tests, 
254 

Quarantine: No. 56, 78-9; regulations, 
103-4, 110 

Quartermaster Corps, 189 

Quinby, T. B., 3 

Quota system, 217 

Railroad, 134, 199, 205, 225 

Rains, 188, 216, 251 

Rationing, 190 

Raymond, G. T., 4, 7 

Raymond, W. W., 48, 84, 161, 168, 
175, 181 

Reeves, Judge O. K., 145 

Refrigeration: research, 57; engineers, 
58 

Rehbaum, G. H., 10 

Reid, J. A., 7, 8 

Reid, J. J., 23 

Reppert, Eugene, 10 

Representative marketing organiza- 
tion, 72 

Research, 121, 170, 198, 199; pre- 
serving citrus juice, 14; refrigeration, 
57; citrus, 195; new product, 262; 
nutritional, 262 

Resolution: commemorative, 12; to 
United States President, 27-8; gov- 
erning funds, 33-4; to protect Seald 
Sweet, 41-2 

Retain, 8, 86, 134 

Richardson, Dr. W. C., 16, 18, 19, 22, 
24 

Ridge Citrus Sub-Exchange, 75, 84, 
87, 95, 102, 109, 118, 125, 131, 136, 
151 

Rind, 56 

Rockefeller, Godfrey, 167 

Roden, Austin, 22 

Rose, R. H., 8 

Ross, Dr. J. H., 15, 16, 18, 19, 22, 
23, 24, 28, 29, 30, 41, 42, 43, 44, 
45, 47, 48, 49, 60, 61, 65, 74, 75, 
76, 85-6 

Rotarian, 24 

Rotary Clubs, 78 



Rotterdam, 89, 106, 120 
Rundle, F. A., 87, 95, 102, 109 
Russ and Hollinsworth, 77 
Rust, J. B., 32, 43 

Ruth, F. S., 82, 84, 87, 95, 102, 109, 
118, 125 

Sadler, O. W., 4, 8 

St. Johns River Citrus Sub-Exchange, 
84, 87, 95, 102, 109, 118, 125, 131, 
136, 151, 155, 161, 168, 175 

St. Lucie County, 4 

Sales, 9, 21, 24, 35, 36, 37, 70, 94, 
106-206 passim, 207, 208, 210, 215, 
222, 224, 232, 233, 234, 237-61 
passim; departments, 18, 35, 39, 54, 
62, 63, 89, 180; at auction, 37, 101, 
106, 159, 172, 184; private, 37, 89, 
101, 106; campaign, 40; agencies, 
41, 101, 261, 262; conditions of, 64; 
agents, 66, 126, 128; organizations, 

86, 119, 120; quotations, 101; con- 
tracts, 115; policies, 119, 166; frozen 
orange juice, 121; activities, 154; 
barter method, 184; direct, 184 

Sample, J. W., 4, 7, 10, 13, 14, 16, 

18, 19, 161 
Sampson, F. G., 4 
Sams, T. L., 28, 29 
Samson, James, 187, 193, 200, 202, 

212, 219, 229, 230, 235, 241, 249 
Sanborn, W. J., 96 
Sandlin, A. R., 23 
Sanford, 57, 136, 137 
Sanford Farmers Exchange, 57 
Sarrett, Paul C, 245, 250 
Satterfield, L., 9 
Saturday Evening Post, 46 
Saurman, A. V., 200, 201, 212, 219, 

229, 249, 252 
Scarlett, J. A., 29 
Scenic Citrus Sub-Exchange, 75, 83, 

87, 95, 102, 109, 118, 125, 131, 136, 
151, 161, 168, 175, 181, 187, 200, 
212, 219, 238, 241 

Scholarship, 216 

School program, 47, 55, 210, 216 

Schwind, D. J., 200 

Scott, George A., 21, 23, 45, 64, 65, 

76, 81, 84, 87, 96, 102, 110, 119 
Seald Heart, 62, 65, 66 
Seald Sweet, 22, 31, 38, 42-179 pas- 



276 



INDEX 



sim, 206, 211, 216, 218, 222, 233, 
234, 237, 238, 239, 243, 246, 247; 
copyright of, 22; attempts to copy, 
41; limitations on, 42; quality of, 
42; breakfast food, 167 

Sears, Representative William, 44 

Secretary of Agriculture, 152 

Seehof, C. A., 212 

Seffner, 6 

Selling, 262; methods of, 38, 50, 119, 
140, 262; charge, 70, 180-81; ques- 
tions of, 72 

Selma, 8 

Seminole-Orange Sub-Exchange, 75, 
84, 87, 95, 102, 109, 118, 125, 131, 
136, 151 

Senate, 28, 148 

Service charge, 173, 178 

Shippers, 45, 56, 86, 103, 114, 145, 
146, 147, 151, 152, 165, 167, 174, 
176, 177, 178, 179, 180, 183, 184, 
186, 191, 206, 214, 220, 232, 237, 
244, 247, 250, 255, 260; contracts, 
99, 100; holiday, 232 

Shipping, 3, 28, 29, 36, 37, 44, 62, 
63, 68, 80, 105, 139, 140, 144, 156-7, 
194-254 passim; inter-state, 22; sea- 
son, 53, 68, 69; coordination of, 98; 
regulations, 115; via truck, 126, 132; 
via water, 134, 192, 225 

Shortages, 197, 205; of sugar, 36; of 
growing materials, 192; of labor, 
192; war-time, 190-91 

Sinclair, Robert, 10 

Single-strength canning, 216, 224, 
226, 237, 239, 240, 243 

Singletary, John B., 4, 8 

Sisk, Belle, 23 

Skelly, F. L., 17, 18, 22, 23, 24, 30, 
32, 35, 40, 43, 44, 45 

Skinner, L. B., 125 

Skinner, L. R., 3, 118 

Smith, Frank, 23, 32, 43 

Smith, J. W., 175, 181, 187, 192, 200 

Smith, Jennie, 32, 43 

Smith, Rupert, 112, 118, 125 

Snively, John A., 60, 63, 64, 65, 75, 
76, 81, 83, 84, 85, 87, 95, 96, 102, 
109, 118, 125, 129, 130, 136, 137, 
142 

Snively, John A., Jr., 181, 187 

Snow Crop, 221, 233 



South Florida Fair and Gasparilla 

Carnival Association, 26 
South Florida State Fair, 47 
Southern Construction Company, 57 
Special and Associate Sub-Exchanges, 

118 
Speese, George, 125 
Stabilization Bill, 146 
Stabilization Commission, 148 
Stahl, Dr. A. L., 195 
Stall, B. E., 125, 131, 136, 143, 150, 

154 
Stamping, 211 

Standard grower contract, 215 
Standard Growers Exchange, 59, 61, 

62, 65, 69, 80 
Standard Oil Company, 167 
Standardization act, 90 
Standards, 205, 217; control of, 133 
State Cattle Experiment Station, 204 
State Citrus Commission, 146, 147 
State control, 147 

State Plant Board, 63, 103, 248, 250 
Stem-end decay, 203 
Steuart, A. B., 131, 137 
Stevens, H. B., 4 
Stewart, B. F., 83, 87, 95, 102 
Stewart, C. E., 13, 22, 24, 29, 30, 32, 

33, 61, 78 
Stewart, C. E., Jr., 24, 43, 45, 47, 48, 

49, 64, 65, 67-7-3, 76, 84 
Stewart, Tom B., 175, 181 
Storm, 50, 103 
Strickland, A. L., 10, 252 
Strikes, 50 
Strong, A. N., 249 
Strong, Jack N., 219, 229, 238, 240 
Stuart, J. K., 131 
Stubbs, C. J., 49, 62, 63, 65 
Sub-Exchange Managers Association, 

46, 81 
Sub-exchanges: by districts, 8; at 

large, 73; consolidation of, 77 
Supermarkets, 232, 259, 260 
Surpluses: 158, 170, 189, 208, 240; 

purchasing program, 165 
Swan, Tom B., 189, 190, 228, 229 
Sylveria, C. V., 19, 22 

Talbott, W. O., 87, 95, 102, 109, 

118, 125 
Tampa, 3, 4, 6, 7, 9, 11, 12, 14, 16, 



277 



FIFTY YEARS OF CITRUS 



18, 22, 23, 25, 32, 33, 43, 45, 46, 
47, 67, 69, 99, 111, 122, 124, 128, 
130, 131, 134, 136, 140, 143, 145, 
150, 152, 154, 167, 187, 229, 238, 
240, 252 

Tangerines, 90, 106, 138, 147, 165, 
177, 182, 185, 186, 202, 207, 208, 
221, 223, 225, 232, 239, 242, 243, 
250; juice, 203 

Tariff Commission, 152 

Tarpon Springs, 175 

Tavares, 201, 212, 219, 229, 238, 240 

Tax, 92; federal regulations, 197 

Taylor, John S., 75, 82, 84, 87, 95, 
102, 109, 118, 125, 131, 136, 143, 
145, 150, 154 

Taylor, John S., Jr., 155, 161, 168, 
175 

Taylor, W. D., 6 

Temple, W. C, 4, 6, 7, 10, 11, 12, 
13, 14, 16, 17, 18 

Tenney, Mr., 98 

Terminal markets, 89, 107, 261 

Texas, 35, 93, 101, 105, 110, 117, 
120, 132, 133, 144, 156, 157, 163, 
164, 172, 173, 182, 198, 199, 210, 
214, 217, 220, 222, 223, 225, 227, 
231, 240, 244 

Thiourea, 203-204 

Thomas Advertising Service, 20, 21, 
31, 45, 46, 53, 61, 81 

Thompson, R. K., 109, 118, 125 

Tilden, H. C. 87, 95, 96, 102 

Tilden, L. W., 4, 8, 13, 14, 16, 18, 

19, 22, 24, 28, 29, 30, 31, 65, 75, 
76, 81, 84 

Tilden, Judge W. L., 155, 161, 168 

Today's Housewife, 46 

Todd, E. G., 201, 212, 219, 229, 238, 
241 

Tomatoes, canned, 163; juice, 126 

Tonnage, 178; control, 133 

Torres, Henry, 10 

Trade, 113, 189, 210; boards of, 78; 
European, 106; foreign, 120-21, 
210-11; reciprocal agreements, 152, 
159; platform, 169; bulletin, 234 

Trademark, 70, 206 

Trade name, 21-22, 41 

Traffic Department, 53, 68, 93 

Trammell, Park, 44 

Treasury Department, 199 



Turner, L. M., 137 

Umatilla, 130, 136, 143, 150, 154, 
187, 192 

Unemployment, 202 

United States, 27, 37, 53, 55, 56, 78, 
92, 93, 140, 141, 152, 153, 204, 210, 
227, 243, 248; Constitution, 47; 
Government, 28, 99; Department of 
Agriculture, 22, 27, 28, 45, 99, 103, 

147, 189, 240, 248, 250; Experiment 
Station, 103 

United States Food and Drug Admin- 
istration, 204 

University of Florida, 216; Agricul- 
tural Experiment Station, 195 

University of Kansas, 13 

University of Pittsburgh, 13, 14, 17 

Updike, A. R., 187, 192, 200, 201, 
212, 219, 229 

Updike, John C, 237, 240, 249 

Vacuum Foods Corporation, 203 
Valencia, 56, 108, 144, 172, 210, 211, 

232, 239, 246, 247, 257 
Van Clief, W. C, 142, 143, 150, 154, 

155, 161, 167, 175, 181, 186, 192, 

200, 201, 212, 219, 229 
Vara, Josiah, 2, 4, 7, 10, 13, 14, 15, 

18, 19, 75, 78, 82, 84, 87, 95, 102 
Vegetables, 31, 32, 57, 78, 227; cooler, 

57 
Vending machine, 167 
Vero Beach 219, 229, 230, 240 
Vissering, N. H., 145 
Vitamin P, 216 

Volusia County, 4, 24, 29; Citrus Sub- 
Exchange, 9, 22, 24, 43, 45, 48, 49, 

50, 60, 65, 75 
Voting power, 86 

W. A. Merryday Co., 6 
W. H. Clark Fruit Company, 249 
Waite, F. D., 6 
Wakelin, CM., 29, 42, 45 
Wales, Edward H., 250 
Walker, Charles, 2 

Walker, C. H., 21, 82, 95, 96, 102, 
109, 110, 118, 125, 131, 143, 145, 

148, 150, 154, 161, 168, 175, 181, 
187, 192, 200, 201, 212 

Walker, Judge Allen E., 99 



278 



INDEX 



Walker, Marvin H., 118, 125, 200 

Walker, S. S., 62 

Wallace, Henry, 152 

War: World War I, 27, 28, 31, 43; 
Civil War, 126; Spanish Civil War, 
160, 174; World War II, 185, 189, 
201, 216, 227, 246; Korean War, 
230; economy, 192; Labor Board, 
199; Shipping Administration, 205; 
government controls, 192, 194 

Ward, H. A., 6 

Ware, C. E., 145 

Ware, E. Temple, 23 

Warner, S. C, 18, 28, 46, 61 

Washington, 22, 23, 27, 43, 44, 98, 
103, 152, 165, 196, 227, 237 

Wauchope, Jessie, 10 

Wauchula Citrus Growers Associa- 
tion, 77 

Waverly, 136 

Weather, 36, 43, 188 

Weber, H. S., 235, 238, 241, 245 

Weeks, J. M., 13, 14, 15, 16 

Welch, H. T., 18, 22 

Welles, B. F., 77, 81 

Wert, William, 18, 23 

Wescott, H. E., 43 

West coast, 4, 188, 213 

West Coast Citrus Sub-Exchange, 161, 
168 

Whitehair, Francis P., 136, 143, 150 

Whitesell, S. A., 161, 168 

Whitley, Joel, 9 

Wholesale houses, 54 

Wilhoit, C. G., 231, 235, 238, 240, 
241, 245, 247, 249, 252 

Williams, C. N., 23, 33, 43 

Williams, H. S., 4 



Williams, J. R., 16 

Willis, H. H., Sr., 235, 238, 240, 249 

Wills, S. B., 23 

Wilson, 6 

Wilson, Lorenzo A., 82, 84 

Windermere, 143, 150, 154, 161, 168, 
175, 181, 187, 192 

Windstorms, 144 

Winter Garden, 131, 136, 143, 150, 
154, 161, 168, 201, 212, 219, 229, 
238, 240, 247 

Winter Haven, 6, 99, 122, 124, 131, 
136, 140, 141, 142, 143, 150, 151, 
154, 155, 161, 167, 168, 175, 181, 
186, 187, 189, 191, 192, 201, 212, 
219, 228, 229, 238, 240, 241; Citrus 
Growers Association, 249; Citrus 
Sub-Exchange, 75, 83, 87, 95, 102, 
109, 118, 125, 131, 136, 161, 168, 
175, 187, 200, 212, 219, 238, 241; 
Fruit Products Association, 62 

Winter Park, 6 

Wirt, E. L., 75, 76, 81, 84, 87, 96, 
102, 109, 111, 118, 125 

Woman s Home Companion, 46, 91 

Wood, P. P., 19, 22 

Woolfolk, R. B., 145 

Worthington, C. C, 23 

Wright, Dr. Y. E., 49 

Wyman, A. F., 65 

Yothers W. W., 75, 82, 83, 87, 95, 

102, 109 
Young, Marion J., 231 

Zeigler, A., 19 

Zolfo Citrus Growers Association, 77 

Zurich, 120 



279 



Date Due 



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